Digital Currency Group Raises $700M, Now Valued at $10B

The parent company of Grayscale has raised a massive round from heavy-hitters like SoftBank Group and Alphabet Inc’s independent growth fund CapitalG.

by Jacquelyn Melinek /

November 1, 2021 10:45 am

key takeaways

SoftBank invested through its technology-focused investment fund Vision Fund 2 and its Latin America Fund, which aims to partner with companies and entrepreneurs “defining the future of the region”
The investment allows some DCG investors to take profits, although founder and CEO Barry Silbert is not among them — he continues to own almost 40% of the company

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Digital Currency Group, a cryptocurrency-focused capital market company, has raised $700 million in its latest investment round, bringing its valuation to $10 billion.

The round was led by SoftBank Group, Alphabet Inc.’s growth fund CapitalG and Ribbit Capital, the company announced on Monday. SoftBank invested through its technology-focused investment fund Vision Fund 2 and its Latin America Fund, which aims to partner with companies and entrepreneurs “defining the future of the region.”

The investment also wasn’t about raising funding for the company, Barry Silbert, founder and CEO of Digital Currency Group told the Wall Street Journal, but was rather an opportunity for early investors to take profits. While some DCG investors took profits, Silbert was not among them and continues to own almost 40% of the company.

The company was not available for immediate comment requested by Blockworks on Monday.

DCG is the parent company to several big name crypto companies including asset management firm Grayscale, trading-based Genesis and the news company CoinDesk.

While DCG states it’s “not a venture fund” it is a strategic investor in 165 early-stage investments in digital currency and the blockchain ecosystem. To date, its portfolio has raised $1.1 billion, according to the company’s website.

“We’re the best proxy for investing in this industry,” Silbert said to CNBC in an interview. “We were looking for the type of backers that could be, and hopefully will be with, with us on this journey for the next couple of decades,” he added.

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