Blockchain Company Digital Asset Holdings Raises $40 Million for Expansion

Digital Asset Holdings, a blockchain technology provider based in New York, has raised $40 million during a funding round for expansion.

Digital Asset Holdings LLC, a blockchain company founded in 2014, announced on Monday that it had raised $40 million during Series B Funding.

Digital Asset is one of the fastest growing blockchain startups. Led by former JP Morgan Managing Director, Blythe Masters, the company has accumulated over $100 million from 15 investors around the world, including the Australian Stock Exchange (ASX), IBM, Goldman Sachs, BNP Paribas, CITI Bank, and JP Morgan.

Besides raising funds, Digital Asset Holdings has expanded with acquisitions and partnerships, buying Bits of Proof and Hyperledger among others.

This week, the company announced the end of a funding round managed by Jefferson River Capital, which brought in $40 million. The company responsible for the event is a family business of Tony James, COO at Blackstone.

Speaking about expansion, Digital Asset Holdings’ CEO Blythe Masters said:

“As we head into 2018 we will seek to grow both to continue the existing projects we are working on to bring them into production and to take on new ones.”

The New York-based company said that the funding would support business growth, mainly by acquisitions and new hires.

Besides the funding event, the startup also announced that it had hired Clyde Rodriguez in the Executive Committee team. Rodriguez, who previously worked as a CTO at Two Sigma Investments hedge fund, was reported saying:

“Distributed Ledger Technology has the potential to bring greater transparency, security and efficiency to financial services and beyond. We are in the early stages of an important technological transformation that requires strong engineering discipline to deliver credible and practical solutions.”

He added:

“I am excited to join a world-class team that has the necessary skill and focus required to accelerate these important innovations, while helping our customers embrace the benefits of DLT.”

According to the CEO, the expansion process may help the company go beyond financial markets. Speaking about the possibility of dealing with other markets, Masters said:

“I wouldn’t rule it out because the technology lends itself, but we are very focused on what is not a small market segment.”

Previously, Digital Asset Holdings was involved with a series of big financial projects where it could push its blockchain solutions. Some of these projects, as in the case of the partnerships with ASX or JP Morgan, aimed to speed up settlement processes. The Australian Stock Exchange will decide at the end of this year whether to replace its settlement system entirely with Digital Asset Holdings’ blockchain technology.

As for JP Morgan, IBM, and other examples from the list of investors, they will collaborate with other blockchain providers as well.

JP Morgan has recently partnered with Royal Bank of Canada and Australia and New Zealand Banking Group for the creation of an Interbank Information Network, a blockchain-based payment processing system, while IBM partnered with Stellar for a similar project in the South Pacific region.