Singapore-based cryptobank Vauld is working hard to elevate crypto to the status of a separate, viable asset class. It combines the functionality of an exchange with all the essential offerings of a bank, except for cryptocurrencies.
Vauld raises $ 2 million
The Vauld team has just raised $ 2 million over the past four months from Pantera, Coinbase Ventures and CMT Digital, among others. “The investors were thrilled that we built to solve the cryptocurrency banking system,” said CEO Darshan Bathija.
With the crypto market dominating the financial news and gearing up for what could be the best year in 2021, the Vauld team plans to use the funds to expand its team from 7 to more than 20, and to be active in new markets. The cryptobank currently offers quite high yields – ranging from 3% to 11% on its clients’ crypto deposits, while offering crypto loans and exchange functionality at the same time.
Now the Vauld team expects to double this offering, with higher revenues, an OTC desk and more fiat links on the exchange. Vauld’s main audience consists of wealthy individuals who, Darshan says, “want to earn a return but prefer not to be liable for capital gains”.
The team does state that it will remain beginner-friendly and invite new investors to enter the market. On a related note, Vauld is also quick to acknowledge that one of the first concerns among early crypto adopters is the security and safety of their funds. That is addressed quite emphatically by Vauld’s partnership with BitGo, a fairly trusted, leading custodian brand in the crypto world. BitGo’s wallets are insured by Lloyd’s London for an amount of $ 100 million.
As for the often ambiguous legal perspective on cryptocurrencies in various markets, Vauld says they will “ work closely with commodities and banking regulators to ensure that we and [their] partners are and will remain fully compliant through the changing regulatory landscape. “
Vauld is led by Darshan Bhatija and Sanju Sony Kurian, both of whom have rich experience building and scaling startups after their Series A rounds. Darshan has also worked as the head of TapChief. Sanju has served as the CTO of Kings Learning, a scaled product of 25 million users.
Vauld is an evolved idea of a bank, combined with the potential of cryptocurrencies. Vauld allows users to borrow, borrow and trade crypto assets just like fiat currency or conventional assets.
Vauld ticks off the four traditional goals of a banking institution:
- Store of value – Ensuring crypto assets are held with an appropriate level of security.
- Easy to spend – High liquidity, both on and off the stock market (more on this below).
- Capital growth – Regular interest payments on deposits (currently offered APY up to 12%)
- Exchange – Trade a wide variety of crypto assets with each other and the Indian Rupee. (with other fiat currencies coming soon!)
With its products and partnerships, Vauld has great potential to become a leading player in these newly emerging crypto banking. The crypto banking concept itself has significant potential and is almost ushering in the maturity of the crypto world. If you are a crypto aficionado looking to get into the industry, Vauld’s referral program probably deserves your attention. The platform promises 40% of the trading fees and 5% of all interest paid or earned to all its users who successfully refer friends. Coupled with its quite active and engaging Telegram community, it’s an enviable user base building the brand for itself.
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