Circle's $50 million round in April 2015, led by Goldman Sachs, ranks among the three largest Bitcoin investments ever. Circle bumped Blockchain.info's $30 million raise down the list and added anothe
Circle's $50 million round in April 2015, led by Goldman Sachs, ranks among the three largest Bitcoin investments ever. Circle bumped Blockchain.info's $30 million raise down the list and added another record-breaking entry to 2015's funding landscape.
With a catch. 21 Inc., which operated in stealth mode, landed $116 million in funding, the single largest investment in Bitcoin's history. The company announced the round in March 2015, though the fundraising may have started in 2014. By announcement date, it counts as a 2015 investment.
Despite Bitcoin's stuck price, venture firms didn't retreat. Investors completed five of the six largest Bitcoin investments in 2015 or the final months of 2014. BitPay alone broke the pattern, raising $30 million in March 2014.
The six largest Bitcoin funding rounds:
- 21 Inc.: $116M (announced March 10, 2015)
- Coinbase: $75M (January 20, 2015)
- Circle: $50M (April 30, 2015)
- Blockchain: $30.5M (October 7, 2014)
- BitPay: $30M (March 13, 2014)
- BlockStream: $21M (November 17, 2014)
Investors rattled by Bitcoin's price can look for reassurance in this funding activity. Venture capital fails on many bets. Tech firms and finance firms, though, keep funding Bitcoin companies. Both sectors back the technology, a signal they see potential. Goldman Sachs' participation matters in traditional finance circles. Merchants continue adopting Bitcoin. Investors demonstrate conviction in Bitcoin and blockchain technology through these funding rounds.
Bitcoin's price hovers below $300. Venture capital flows toward infrastructure development, not the currency itself. If that infrastructure delivers on what it promises, the price may catch up.
