Digital assets bank Avanti has completed its Series A funding round, netting $37M, which will be used across multiple projects, including the creation and issuance of a tokenized US dollar called Avit. The funding round was filled by various institutional investors and cryptocurrency companies.
Avanti has now raised over $44 in capital, with backers including Binance, Coinbase Ventures and Morgan Creek Digital. The firm said the funds will be used for engineering, operational expenses and regulatory compliance.
In September 2020, Avanti became only the second crypto company after Kraken to obtain a banking charter license from the Wyoming State Banking Board, and gained the status of Special Purpose Depository Institution (SPDI) whih allows them to engage in a range of traditional banking activities, such as asset custody and management and deposit taking. By offering this regulated access to the crypto space for institutional investors, SPDI’s pile on the pressure to the legacy banking system to adopt cryptocurrencies as a new asset class.
“As Bitcoin and digital asset markets mature and financialization network effects take root, there is a tremendous need for both well-crafted laws and experienced, competent operators,”Trace Mayer