Arca Secures $ 10 Million Series A Funding As Mainstream Financiers Back Crypto

0
0

Arca, an emerging digital asset manager, has secured $ 10 million in Series A funding to begin the next phase of its business strategy, which could bridge the gap between traditional finance and cryptocurrencies.

In a press release Wednesday, Arca said the funding round was being led by venture capital firm RRE Ventures, with key contributions from Alex Tisch, chairman of Loews Hotels & Co, and a “coalition of led by Littlebanc Advisors ”.

Arca sai will use the funding to improve its infrastructure and digital service offerings, as well as to keep abreast of all legal and regulatory requirements in the industry.

ALSO READ  Binance Korea to close exchange due to low trading volume

Rayne Steinberg, CEO of Arca, told TBEN that 2020 is a pivotal year for cryptocurrency. While this is largely due to Bitcoin (BTC), the company has seen “this initial awareness translate into an interest in the many other aspects of digital assets.”

Asked about the biggest barrier to digital asset adoption, Steinberg identified the “confusing and fractured narrative” around cryptocurrency. He explained:

“Sophisticated investors should understand what they are investing in before making any investments. So, standardization and consistency of education [in] message are things that have the same importance as the actual products. “

Steinberg said Series A investors have recognized that there is a large addressable market for managing crypto assets – and identified Arca’s potential to fill the void.

ALSO READ  NY Times report alleges history of pay discrimination at Coinbase

“Our investors recognized Arca’s plan to become the premier branded asset manager in digital assets as an idea with huge potential,” he said.

These views were echoed in the press release. James Robinson, Founder and CEO of RRE Ventures, said his decision to support Arca stems from his long experience with the company’s management team:

“We have worked with Arca’s senior team members over the past two decades as they revolutionized asset management, giving us great confidence in their ability to start over with future scalable products.

Founded in 2018, Arca provides a suite of marketed investment products for traditional investors looking for a way to mine cryptocurrencies. The company provides actively managed hedge funds and cash management services dedicated to crypto.

ALSO READ  Representative Soto seeks office to 'coordinate' federal use of blockchain technology

Digital asset management is a growing niche in the cryptocurrency industry, with companies like Bitwise and Grayscale seeing an influx of capital from new investors seeking direct exposure to the D-class. ‘assets.