Embattled crypto trading firm Amber Group has raised $300 million in a Series C funding round in an attempt to steer away from the effects of the FTX collapse.
The funding round was led by Fenbushi Capital US and saw participation from several crypto-native investors and family offices.
The Sequoia and Temasek-backed crypto firm said that being able to raise funds in such a climate demonstrates “investor confidence in Amber’s business and the commitment to shape our future together.”
Before the FTX implosion, Amber was in the process of securing a Series B funding round at a $3B valuation. Post the catastrophic event, the firm decided to partially close the round and move on to the Series C round.
Even though Amber didn’t have direct exposure to any of Sam Bankman-Fried’s FTX or Alameda Research, it had less than 10% of its trading capital in FTX at the time of the collapse.
While there was no signification impact on the daily operations, some of its products experienced drawdowns because of the small number of affected clients.
“That’s why we reacted quickly to adjust our fundraising strategy. The Series C investors came on board with the understanding that we will be laser-focused on providing best-in-class services to our client base of institutional and high-net-worth investors,” explained Amber.
Amber recently scaled down its business by scrapping retail operations, terminating a sponsorship deal with Premier League football club Chelsea FC, and laying off over 40% of its employees, according to a Dec. 9 Bloomberg report.
Despite ditching expansion plans, on Wednesday, Amber acquired Singaporean crypto firm Sparrow Holdings, which offers financial institutions digital asset products and solutions.
The company also unexpectedly lost its co-founder, Tiantian Kullander, in late November.
Moving forward, Amber wants to remain focused on its customers and core offerings.