Fintech and cryptocurrency infrastructure provider Prime Trust has raised $100 million at an undisclosed valuation.
The Series B funding round featured participation from a mix of new and existing investors. The list includes FIS, Fin Capital, Mercato Partners, Kraken Ventures, Commerce Ventures, William Blair & Company, Decasonic, University Growth Fund, Gaingels, GateCap Ventures, and Seven Peaks Ventures.
The Las Vegas-based firm offers a portfolio of APIs and plug-and-play widgets as it seeks to be the one-stop shop for financial infrastructure of Fintechs including firms in the cryptocurrency sector. Prime Trust is already famous at the blockchain space thanks to its back-office solutions. The SEC-regulated company began its Bitcoin storage service in 2020, and then added support for Ethereum and ERC-20 tokens.
Prime Trust counts some of the world’s largest crypto brands such as Swan, Abra, Dapper Labs and Binance US as clients. It also offers services to other crypto exchanges, NFT creators, digital wallets, OTC desks, RIAs, broker-dealers, banks, and neobanks.
Prime Trust also serves as a custodian and trustee for personal and corporate trusts, as well as for crowdfunding platforms. The firm claims to have crossed $100 million in annual revenue last year, as well as 250 million API calls per month from its B2B customers.
Commenting on the news, Tom Pageler, CEO of Prime Trust, said: “This strategic investment will provide critical operational expertise to further scale Prime Trust into new offerings including wealth products, as well as Web 3 and DeFi products. We’ve seen an unprecedented shift toward greater acceptance of digital assets among wealth managers and RIAs and, to that end, we launched the Prime Trust Crypto IRA, the first IRA solution with a seamless, single API integration. Our strategic investor relationships will enable us to continue to expand into new markets and deepen our commitment to helping our fintech and crypto clients to build and scale quickly, securely, and compliantly.”
“FIS believes strongly in fostering a culture of innovation within our organization as well as within the broader fintech community. Investing in an emerging leader in the Web 3 space is just one of the many ways FIS is accelerating fintech innovations for organizations of all sizes,” said Rob Lee, President, FIS Impact Ventures.
Prime Trust said the fresh capital injection of $107 million will be utilized to add systems and personnel who are working on expanding the company’s B2B market share in crypto markets. The new funds will also fuel its growth as it looks to expand into new markets in payments and alternative assets.
Prime Trust, however, is not the only company providing infrastructure and operational cryptocurrency custodianship for the wider investment management industry. Leading cryptocurrency exchange Coinbase, Japanese financial holdings company Nomura and most recently SIX Group, the owner of SIX Swiss Exchange, have all launched similar services for institutional investors.