DriveWealth raises $450M at $2.85B valuation as its business scales

abdelaziz Fathi

US-based digital trading technology company DriveWealth, LLC has raised $450 million in a Series D funding round that values the firm $2.85 billion. The fresh capital injection was led by New York-based private equity Insight Partners and venture capital investor Accel.

The new investment also saw a ‘significant participation’ from Greyhound Capital, Softbank Vision Fund, and Series C lead Point72 Ventures, DriveWealth said on Friday.

A follow-on investment from Fidelity International, plus several new backers including Base 10, FTX, and FlightDeck, also bankrolled the company’s third capital infusion.

Drivewealth is perhaps best known for providing API-based brokerage technology that offers non-US platforms real-time access to the US equities market through fractional share trading. The company’s technology underpins major fintechs like Revolut, MoneyLion and Unifimoney, among others.

The company intends to utilize the new funds to make new hires across several functions, strengthen its current technology stack, make strategic acquisitions, and grow the organization “on every continent” to scale its business.

DriveWealth will also use the Series D investment to launch a self-clearing hub and accelerate partnerships with digital wallets and brokerage apps.

The broker dealer has added new members to its board of directors: Deven Parekh from Insight Partners and Matthew Weigand from Accel.

Commenting on the news, Bob Cortright, founder and CEO of DriveWealth, said: “We are in the early innings of a worldwide retail investing revolution. Our goal is for DriveWealth to be the partner of choice to deliver the embedded investing experience of the future. This new capital and investor engagement will accelerate our global expansion plans in order to become the world-class, exchange-like technology company that powers tomorrow’s investing products.”

“The proliferation of digital wallets and democratization of investing has led to DriveWealth’s incredible growth and user adaptation to date, and the company’s institutional-grade brokerage execution delivers a seamless process to access equities globally. We look forward to partnering with the company as they continue to expand to meet the needs of today, and innovate for the demands of tomorrow’s fintech ecosystem,” added Deven Parekh from Insight Partners.

DriveWealth partners with many financial institutions, brokers, app developers, and technology companies to provide users with the ability to open a US-based brokerage account. The company’s offering covers six continents, offering its APIs that partners can use to provide new investment capabilities to their clients.

This collaboration with other platforms enables foreign investors to build portfolios of US stocks, ETFs, and ADRs with low costs starting from $0.99 per trade. The fractional trading feature also eliminates the barriers that many investors face when trying to invest in a diversified portfolio of high-value securities.

In addition, the partnerships leverage DriveWealth’s clearing capabilities to enable retail investors to transfer funds at lower costs, and manage their investments under a completely digital platform.

 

 

Read this next

blockdag

BlockDAG aka Kaspa’s Toughest Competitor Releases DAGpaper, Lightes Up The Las Vegas Sphere Pulling Shiba Inu Investors & Amassing $16.4M in Presale

BlockDAG, emerging as a Kaspa competitor, unveils its DAGpaper, spotlighting the Las Vegas Sphere and captivating Shiba Inu investors with a $16.4M presale success.

Fundamental Analysis

Global FX Market Summary: USD, ECB, Gold, Oil  April 12 ,2024

A strong US economy, cautious Fed policy compared to Europe, and safe-haven demand are all fueling the surge of the US Dollar.

Digital Assets

Thai crypto exchange Bitkub eyes $3 billion valuation

Thailand’s largest cryptocurrency exchange Bitkub is gearing up for a public offering next year with a potential valuation of up to $3 billion, according to Bitkub Capital Group CEO Jirayut Srupsrisopa.

Technical Analysis

GBPUSD Technical Analysis Report 12 April, 2024

GBPUSD currency pair can be expected to all further toward the next support level 1.2400, target price for the completion of the active minor impulse wave.

Market News

Navigating Currency Trends: Extensive Analysis on EUR/USD Signal

Traders Union provides comprehensive daily analysis and signals for EUR/USD.

Retail FX

Axi extends sponsorship of Brazilian Esporte Clube Bahia

Forex and CFD broker Axi has just announced they’re extending their sponsorship with Brazilian Serie A team Esporte Clube Bahia into the 2024 season.

Digital Assets

Binance-backed Gopax narrows losses amid strong crypto trading

Binance-backed cryptocurrency exchange Gopax reported lower net losses for 2023, according to its parent company Streami’s year-end financial report.

Chainwire

99Bitcoins Launches Learn-To-Earn Presale and Raises $150K On First Day

99Bitcoins, established in 2013, has recently begun its token presale in an effort to harness the current upward trend in Bitcoin’s value. The 99BTC team, seizing this opportunity, offers its learn-to-earn platform, a longstanding resource in cryptocurrency education.

Reviews

Brokeree Solutions Review

Brokeree Solutions is an international provider of innovative technological solutions for multi-asset brokers worldwide. The company specializes in high-grade solutions development, including flagship Social Trading, PAMM, Prop Pulse, and Liquidity Bridge. With 10 years of industry expertise and an extensive product portfolio, Brokeree Solutions offers technologies covering almost any broker’s needs.

<