Jacquelyn Melinek

<div id="highlights-block_61e15aaa41ab2" class="highlights">
 <ul>
 <li>Lukka provides services to both traditional financial firms and cryptocurrency companies including Arca, Circle, CPA.com, eToro, IHS Markit, S&amp;P Dow Jones Indices and State Street</li>
 <li>The investment comes nine months after its last funding round of $53 million</li>
 </ul>
 
</div>



Crypto asset software and data provider Lukka closed its $110 million Series E, valuing it at over $1.3 billion, the company’s CEO Robert Materazzi exclusively told Blockworks on Friday.&nbsp;



“There’s a ton of momentum in the crypto industry as a whole, and Lukka’s at the center of that,” he said. “We’re expanding globally very quickly here,” he added.&nbsp;



The funding will be used to accelerate Lukka’s growth and expansion strategy through creating new offices internationally. At the end of 2021, it opened up offices in Switzerland and <a href="https://cms.blockworks.co/?s=singapore#:~:text=Singapore%20Seeks%20to%20%E2%80%98Balance%E2%80%99%20Economic%20Innovation%20While%20Shielding%20Public%20From%20the%20Metaverse" target="_blank" rel="noreferrer noopener">Singapore</a>, Materazzi noted.&nbsp;



<div class="wp-block-image"><figure class="alignright size-medium"><img loading="lazy" decoding="async" width="300" height="275" src="https://blockworks-co.imgix.net/wp-content/uploads/2022/01/2022-01-14-Robert-Materazzi-300x275-1.jpg" alt="" class="wp-image-15370" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2022/01/2022-01-14-Robert-Materazzi-300x275-1.jpg?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2022/01/2022-01-14-Robert-Materazzi-300x275-1.jpg?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2022/01/2022-01-14-Robert-Materazzi-300x275-1.jpg?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2022/01/2022-01-14-Robert-Materazzi-300x275-1.jpg?w=281 281w, https://blockworks-co.imgix.net/wp-content/uploads/2022/01/2022-01-14-Robert-Materazzi-300x275-1.jpg?w=285 285w, https://blockworks-co.imgix.net/wp-content/uploads/2022/01/2022-01-14-Robert-Materazzi-300x275-1.jpg?w=239 239w, https://blockworks-co.imgix.net/wp-content/uploads/2022/01/2022-01-14-Robert-Materazzi-300x275-1.jpg?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2022/01/2022-01-14-Robert-Materazzi-300x275-1.jpg?w=50 50w, https://blockworks-co.imgix.net/wp-content/uploads/2022/01/2022-01-14-Robert-Materazzi-300x275-1.jpg?w=1180 1180w" sizes="auto, (max-width: 300px) 100vw, 300px" /><figcaption>Lukka <meta charset="utf-8">CEO Robert Materazzi</figcaption></figure></div>



“Our team almost tripled its headcount in the last year, but we’re not done,” he said. “We will have a lot of further headcount growth in global locations and will continue to build out,” he added.



The capital raise was led by London-based hedge fund <a href="https://cms.blockworks.co/london-based-hedge-fund-firm-marshall-wace-moves-toward-crypto/" target="_blank" rel="noreferrer noopener">Marshall Wace</a>, which specializes in alternative investment strategies. Additional investors include Miami International Holdings, Summer Capital, SiriusPoint Ltd., as well as participation from its previous Series D investors Soros Fund Management, Liberty City Ventures, S&amp;P Global and CPA.com.&nbsp;



The investment comes nine months after its last funding round of <a href="https://cms.blockworks.co/soros-fund-backs-lukkas-53-million-series-d-funding-round/" target="_blank" rel="noreferrer noopener">$53 million</a>. In total, the company has raised about $210 million, Materazzi said.&nbsp;



Lukka’s software compiles data of over 16,000 crypto spot assets, 70,000 crypto derivatives, 300 exchanges and about 30 decentralized exchanges. It provides services to both traditional financial firms and cryptocurrency companies including Arca, Circle, CPA.com, eToro, IHS Markit, <a href="https://cms.blockworks.co/sp-dow-jones-brings-crypto-to-wall-street/" target="_blank" rel="noreferrer noopener">S&amp;P Dow Jones Indices</a> and <a href="https://cms.blockworks.co/state-street-teams-with-lukka-to-expand-crypto-services/" target="_blank" rel="noreferrer noopener">State Street</a>.&nbsp;



“We help them solve the most complex data challenges in the world and those challenges are more and more present with all the innovation going on in crypto,” Materazzi said.



<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">“It’s really challenging to keep up with innovation but that’s our goal and make sure we can simplify all those other data processes that results from all the innovation that’s constant,” he added.&nbsp;</blockquote>



Last year, a lot of organizations, from businesses like <a href="https://cms.blockworks.co/nike-files-to-trademark-virtual-goods-hiring-metaverse-designers/" target="_blank" rel="noreferrer noopener">Nike</a> to traditional financial institutions like <a href="https://cms.blockworks.co/how-megabanks-goldman-sachs-morgan-stanley-are-talking-about-the-metaverse/" target="_blank" rel="noreferrer noopener">Goldman Sachs</a>, began to immerse themselves into crypto as it gained mainstream attention. But, Materazzi suspects that the companies that were quiet last year, were probably busy working on private plans they’ll share this year. “We’re going to see industry by industry adopt crypto in different ways,” he said.



Going forward, Lukka will release more “thoughtful institutional data products, in addition to ones launched last year,” to grow upon its existing data services, Materazzi shared. “At the end of the day, software is about managing data thoughtfully,” he commented.&nbsp;



“Data is powering the world — and everything we’re doing here is driven by data,” Materazzi said.



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data analytics

Crypto Asset Software Firm Lukka Hits Unicorn Status After $110M Series E

Casey Wagner

<div id="highlights-block_612939a83134d" class="highlights">
 <ul>
 <li>Robert Materazzi sees further regulation as an opportunity to bring greater security and legitimacy to the digital asset space, if done well</li>
 <li>There is going to be an increase in traditional financial institutions leaning into crypto products and offerings, he said </li>
 </ul>
 
</div>



Banking in cryptocurrencies is here to stay, Robert Materazzi, CEO of <a href="https://www.lukka.tech/" target="_blank" rel="noreferrer noopener">Lukka</a>, told Blockworks earlier this month at the Bretton Woods: The Realignment conference. 



“I don’t think that many people can argue that it isn’t here,” said Materazzi “All of the big banks are working on it in some way, with actual business units, if they haven’t already launched, they are just about to, which is very exciting.”&nbsp;



Crypto businesses are increasingly leaning into traditional banking products, he said, and he is excited to see how traditional banking starts to merge with digital assets. 



Materazzi, who works closely with regulators day-to-day, is excited about how further regulation can elevate the digital asset space.&nbsp;



“Buy some crypto, first,” Materazzi said of his advice to regulators trying to better understand the space. “What I mean by that is get your hands dirty, you have to actually go through the motions.” 



Watch my full interview with Materazzi below.



<figure class="wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio"><div class="wp-block-embed__wrapper">
<iframe loading="lazy" title="Bretton Woods: Lukka&#039;s Robert Materazzi Says All the Biggest Banks Know Crypto Is Here" width="1024" height="576" src="https://www.youtube.com/embed/R853fd6XawQ?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen></iframe>
</div></figure>



Want more investor-focused content on digital assets? <a target="_blank" href="https://cms.blockworks.co/events/digital-asset-summit-2021-2/" rel="noreferrer noopener">Join us</a> September 13th and 14th for the Digital Asset Summit (DAS) in NYC. Use code ARTICLE for $75 off your ticket. <a target="_blank" href="https://cms.blockworks.co/events/digital-asset-summit-2021-2/" rel="noreferrer noopener">Buy it now</a>.

Banking

Lukka’s Materazzi: Crypto Is Here, and All the Biggest Banks Know It

Ben Strack

<div id="highlights-block_61030af2b1c50" class="highlights">
 <ul>
 <li>State Street to leverage Lukka’s reference data and prime pricing data tools to serve funds with mature risk processes</li>
 <li>Announcement comes after the financial services giant launched State Street Digital in June to focus on industry shifts</li>
 </ul>
 
</div>



State Street has partnered with crypto asset data and software provider <a href="https://www.lukka.tech" target="_blank" rel="noreferrer noopener">Lukka</a>, which will help the custody bank provide digital and cryptocurrency asset fund administration capabilities for its private funds clients.



The Thursday announcement comes after State Street, which has $42.6 trillion in assets under custody and nearly $4 trillion in assets under management, <a href="https://cms.blockworks.co/state-street-launches-digital-finance-unit-for-crypto/" target="_blank" rel="noreferrer noopener">launched State Street Digital</a>, a new unit focused on addressing the industry’s evolving shift to digital finance. 



“This is just one example in a long history of innovation that State Street has and is continuing to drive within our industry,” State Street CEO Ron O’Hanley said of the division during a July 16 earnings call.&nbsp;



Now, working with Lukka will enable State Street to support its private fund clients with collection, standardization, enrichment, reconciliation, processing and reporting related to crypto and other digital assets, the firm revealed.



Interest in crypto has evolved over the last two years or so from general inquiries to clients actually holding it in their portfolios, said Jennifer Tribush, alternatives lead for State Street Digital. The client segments driving the interest in crypto were traditional asset managers with a private markets hedge fund focus, as well focused alternatives managers, she added.



“It was critically important to make sure that we had a way to support fund administration for those clients holding private funds where they would have crypto that is essentially co-mingled with traditional hedge fund assets,” Tribush told Blockworks.



State Street will utilize Lukka’s middle- and back-office data management solution, as well as <a href="https://cts.businesswire.com/ct/CT?id=smartlink&amp;url=https%3A%2F%2Fdata.lukka.tech%2Freferencedata%2F&amp;esheet=52468284&amp;newsitemid=20210729005601&amp;lan=en-US&amp;anchor=Lukka+Reference+Data&amp;index=4&amp;md5=b608e84d3fd5947f7323262bf06aa894" target="_blank" rel="noreferrer noopener">Lukka Reference Data</a> and <a href="https://cts.businesswire.com/ct/CT?id=smartlink&amp;url=https%3A%2F%2Fdata.lukka.tech%2Fprime%2F&amp;esheet=52468284&amp;newsitemid=20210729005601&amp;lan=en-US&amp;anchor=Lukka+Prime+Pricing+Data&amp;index=5&amp;md5=601e5a442eb96f58609343d85cbac88a" target="_blank" rel="noreferrer noopener">Lukka Prime Pricing Data</a>. 



Lukka Reference Data is a “security master” of crypto asset names, tickers and trading pairs across liquidity providers, service providers and other data sources.



Meanwhile, the Lukka Prime Methodology applies a five-step weighting process for identifying a principal exchange and the last price on that exchange. A score is assigned to select the most appropriate primary exchange and then an executed exchange price is given for each covered crypto asset at a specific time. The offering covers 875 assets and 12 sources of raw pricing data.



The importance of data quality is a common theme as more traditional financial institutions enter the crypto ecosystem, Lukka CEO Robert Materazzi noted.



“Clients of firms like State Street — many of the world’s largest funds — have mature risk processes that require accuracy in reporting that starts with the underlying data,” he told Blockworks in an email. “Crypto asset data is inherently more complex and difficult to manage, so it requires new solutions.”Last December, <a href="https://news.lukka.tech/lukka-closes-series-c-led-by-state-street-with-participation-from-sp-global-and-cpa-com/" target="_blank" rel="noreferrer noopener">State Street led Lukka’s Series C funding</a>, which also included participation from S&amp;P Global and CPA.com.



The raise allowed Lukka to expand its existing institutional-grade software and data products to traditional businesses and funds as they rapidly adopt crypto assets into their businesses and portfolios, the firm said at the time.

Lukka

State Street Teams with Lukka to Expand Crypto Services

<div id="highlights-block_60c20f1b55f70" class="highlights">
 <ul>
 <li>In her new role as CFO, Bosse will oversee all aspects of Lukka’s financial positions and fundraising. </li>
 <li>The news comes amid a flurry of new hires as Lukka seeks to tap into the traditional financial market.</li>
 </ul>
 
</div>



Digital asset software provider Lukka has appointed Kinga Bosse, former global head of strategic investments and partnerships at State Street, as its chief financial officer. 



In her new role as CFO, Bosse will oversee all aspects of Lukka’s financial positions and fundraising. She will also be essential in expanding Lukka’s growth and reach, particularly with regards to traditional financial institutions, the company said. 



<div class="wp-block-image is-style-default"><figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="341" height="225" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/06/Image-from-iOS-6.jpg" alt="Kinga Bosse, CFO at Lukka" class="wp-image-4732" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/06/Image-from-iOS-6.jpg?w=341 341w, https://blockworks-co.imgix.net/wp-content/uploads/2021/06/Image-from-iOS-6.jpg?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/06/Image-from-iOS-6.jpg?w=332 332w, https://blockworks-co.imgix.net/wp-content/uploads/2021/06/Image-from-iOS-6.jpg?w=80 80w" sizes="auto, (max-width: 341px) 100vw, 341px" /><figcaption>Kinga Bosse, CFO, Lukka</figcaption></figure></div>



In her previous role, Bosse built out the minority investments function and made early and growth-stage strategic investments, including State Street’s investment in Lukka’s Series C raise in December. Lukka has since closed a Series D funding round backed by billionaire investor George Soros’ fund. 



“I see incredible demand emerging globally for the institutional grade solutions that Lukka builds,” said Bosse. “Our products and services are expanding rapidly and the international markets are fixed in our sight.&nbsp;



The news comes amid a flurry of new hires as Lukka seeks to tap into the traditional financial market. Financial Industry Regulatory Authority chairperson <a href="https://cms.blockworks.co/lukka-appoints-ex-bridgewater-co-ceo-eileen-murray-as-strategic-advisor/" target="_blank" rel="noreferrer noopener">Eileen Murray</a> was named as a strategic advisor in February. Stephanie Miller, former CEO of Intertrust and J.P. Morgan global head, was recently named as COO. 



“Lukka has attracted seasoned leaders from the largest and most successful financial institutions,” said Robert Materazzi, Lukka co-CEO. “Their decisions are largely cultural and are compounded by the enormous opportunity in the crypto industry and at Lukka.”&nbsp;



Lukka currently serves more than 210 active crypto funds. In May, Lukka partnered with S&amp;P Dow Jones Indices to launch three new S&amp;P-branded indices to track cryptocurrencies.&nbsp;



“Expect to see many exciting updates from Lukka as we capitalize on the work that has already been done and as we take all of our products to the next level,” Bosse said.&nbsp;&nbsp;