Jersey City cryptocurrency firm BlockFi raises $50M in (traditional) funding

BlockFi, a Jersey City-based cryptocurrency company, has raised $50 million in funding, it announced this week.

The company said in a news release that the round of Series C funding was led by Morgan Creek Digital. Other investors included Valar Ventures, the lead investor in its Series A and B funding; Winklevoss Capital; NBA player Matthew Dellavedova of the Cleveland Cavaliers; and two university endowments, among others.

“BlockFi’s platform offers investors unparalleled capabilities in the digital asset ecosystem,” Morgan Creek co-founder and partner Anthony Pompliano said in a prepared statement. “We’re excited to back this world-class team as they continue to add new products and expand into incremental areas that are disrupting traditional finance.”

Pompliano has joined BlockFi’s board, the company said.

The three funding rounds have taken place in the past 12 months, BlockFi noted. The new funding will help it expand its team, as well as business lines such as a bitcoin rewards-based credit card.

“The past 12 months at BlockFi have been nothing short of amazing, and, if anything, it’s a testament to the staying power of bitcoin and other digital assets,” BlockFi founder and CEO Zac Prince said in a statement. “With the support from our partners, we’re creating a platform for investors where they aren’t investing in just digital assets anymore — they’re investing in the future, greater financial empowerment and accessibility.”

BlockFi said it is on pace for $100 million in revenue over the next 12 months, and has more than $1.5 billion in assets on its platform. Growth has been particularly strong in Asian markets, the company added.

“I’m really excited by Zac and the team’s explosive growth in a growing space,” Dellavedova said in a statement. “To be able to earn interest on crypto is going to be attractive for a lot of people in a low-yield environment.”