NYDIG Closes $1B Funding Round, Raising Valuation Above $7B

WestCap led the growth equity round with participation from prior investors including Morgan Stanley

article-image

Blockworks exclusive Art by Axel Rangel

share

key takeaways

  • NYDIG will use the capital to develop its Bitcoin-focused platform by integrating Bitcoin protocol upgrades like Lightning payments, asset tokenization and smart contracts
  • NYDIG’s CMO previously told Blockworks the company will continue to integrate into the market in a “major way” by next year

NYDIG completed a $1 billion growth equity funding round led by WestCap, according to a company announcement Tuesday. 

The equity raise increased the company’s valuation to “more than” $7 billion, the company revealed. Prior investors, including Morgan Stanley, Affirm, New York Life, Mass Mutual, Bessemer Venture Partners, FinTech Collective, FIS and Fiserv also contributed to the round. 

“Bitcoin as an asset class has become more of an institutional topic, certainly from macro investors,” Morgan Stanley’s Head of Digital Asset Markets Andrew Peel told Blockworks in September. “The growth [in DeFi] can’t be ignored,” Peel said. 

The capital will be used to develop its Bitcoin-focused platform by integrating Bitcoin protocol upgrades like Lightning payments, asset tokenization and smart contracts.

“…this new equity capital will further accelerate progress towards making this exciting network accessible – and useful – to all,” Robert Gutmann, co-founder and CEO of NYDIG, said in a statement. 

NYDIG began in 2016 and spun off into a separate entity in 2017 with a mission to “make Bitcoin accessible to all” by providing technology and financial services solutions to banks, FinTech companies, investment managers, and institutions, among others. It is also a subsidiary of holding company Stone Ridge, a $12 billion alternative asset manager. 

The firm is known for partnering with a range of institutions, from traditional financial companies and banks to national sports teams

NYDIG’s Chief Marketing Officer Kelly Brewster declined to comment further on the capital raise when requested by Blockworks on Tuesday. 

But last month, Brewster said to Blockworks, “Over the course of the next year, we plan to bring bitcoin to hundreds, if not thousands, of banks around the country and the first banks are coming online right now.” The current demand from companies looking to integrate Bitcoin is unlike anything Brewster has ever seen before in this space, he mentioned at the time. 

Although there are banks that have already partnered with NYDIG, the company will continue to integrate into the market in a “major way” by next year, Brewster said.


Get the day’s top crypto news and insights delivered to your inbox every evening. Subscribe to Blockworks’ free newsletter now.


Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Brooklyn, NY

SUN - MON, JUN. 22 - 23, 2025

Blockworks and Cracked Labs are teaming up for the third installment of the Permissionless Hackathon, happening June 22–23, 2025 in Brooklyn, NY. This is a 36-hour IRL builder sprint where developers, designers, and creatives ship real projects solving real problems across […]

recent research

Research Report Templates (19).png

Research

Suilend has grown into the top money market and liquid staking provider on Sui. STEAMM, Suilend’s Superfluid AMM, presents a compelling avenue for growing market share within Sui’s DEX landscape and revenue generation for the protocol. Suilend’s multi-product suite position it well for owning market share across key verticals. While current metrics across the Sui ecosystem are likely inflated due to Sui Foundation incentive programs, SEND trades at amongst the lowest multiples in the lend/borrow sector, suggesting that a bull case for continued growth in the ecosystem may be mispriced.

article-image

Silk Road founder Ulbricht made a triumphant return to the Bitcoin Conference, 10 years on from sentencing

article-image

A Blockworks Research report looked at who could take up some of the marketshare in the launchpad space

article-image

Business-to-business stablecoin payments are on the rise, per a report from Artemis, Dragonfly and Castle Island

article-image

Crypto continues to do its thing: incentivizing behavior

article-image

Kraken will soon offer Backed ‘xStocks’ as Solana tokens

article-image

In a unanimous decision, the US Court of International Trade has ruled that Trump’s IEEPA tariffs are unlawful