The beleaguered crypto lender, Amber Group, has generated $300 million in a new Series-C fundraising round. This announcement comes amidst news of layoffs and restructuring at the company.
Announcing this in a Twitter post, Amber stated this new round of fundraising is a sign of investors’ confidence in the company. It also shows their commitment to shaping the future of Amber.
Fenbushi Capital led the $300 million Series-C round, and other crypto-native investors and family offices participated in the fundraising.
Amber stated that the company must adapt and protect its clients during this challenging market environment. Before FTX collapse, the company was on its way to completing an extension of its Series B+ at a $3 billion valuation. This was in preparation for the potential prolonged crypto winter.
However, this was paused after FTX collapsed. The company decided it was better to move on to Series C. Amber previously announced that less than 10% of its total trading capital was deposited in FTX. The company was able to rebalance some positions, and none of it affected its daily operations or business continuity.
Although most of Ambers’s clients and products remained intact, some of its specific products experienced significant withdrawals due to FTX default. Hence, Amber had to find ways to protect affected clients, which was why it adjusted its fundraising strategy.
Series-C investors came with a complete understanding that Amber will solely focus on providing top-notch services to its client base of institutional and highly valued investors.
In its effort to become laser-focused, Amber stated it would be scaling down its mass consumer efforts and non-essential business lines. Amber also noted this is the company’s top priority for 2023. Therefore, some of its workers and colleagues will exit the company.
