Bain Capital Ventures takes stake in Seed CX

Other investors in the institutional cryptocurrency exchange include trading firms CMT Digital, Queueco, Tetras Capital, crypto investing companies, including F2Pool, Konza Capital, OKCoin USA and Divergence Digital Currency Fund, and investment bank XMS Capital

Seed CX, a cryptocurrency exchange offering institutional trading and settlement for both spot market and CFTC-regulated derivatives, has completed a $15 million Series B funding round. This was led by Bain Capital Ventures, bringing the venture’s total funding to date to over $25 million.

It will use the cash to expand its physical trading infrastructure, broaden its network of institutional trading groups, and more than double its team to close to 40 people, primarily in operations, market surveillance and technology.

“The growth of digital assets as an asset class will be based on the adoption of institutional investors and professional traders, who require a trading experience that is on par with that of other instruments, such as equities and commodities,” says Edward Woodford, Seed CX’s co-founder and CEO.

“As a licenced exchange for both spot and derivatives trading, we deliver the operational risk safeguards, strong institutional technology, operational support, and regulatory compliance that institutions demand. What is particularly exciting is that our unique offering brings large institutional traders, who have so far sat on the sidelines, into the crypto space for the first time.”

Unmet needs

“Institutions are seeking regulated, secure, and reliable crypto venues with diverse products that allow them to earn strong returns,” comments Salil Deshpande, Managing Director at Bain Capital Ventures.

“Today, trading venues are retail focused, limited to spot trading, often unregulated, and in foreign jurisdictions. The lack of institutional exchanges is the single largest barrier to crypto asset class growth. Seed CX is serving this unmet need of institutions and has assembled an outstanding team of executives to support this vision.”

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