Goldman Sachs and Citadel invest in crypto firm Digital Asset
Digital Asset, a crypto company, announced on Tuesday that it has secured $135 million in funding from major names in the banking and finance industry. The firm, which prides itself on being a regulated player in the crypto space, revealed that the funding round was co-led by DRW and Tradeweb, with investments from Goldman Sachs, BNP Paribas, and Citadel Securities, among others.
This significant investment reflects the growing interest of large financial institutions in the crypto market. Once associated with illicit activities like fraud and money laundering, digital assets have now become a more mainstream asset class. Institutions such as JPMorgan Chase, Goldman Sachs, and Morgan Stanley have started embracing the crypto space, with JPMorgan recently launching its own stablecoin called “JPMD.”
Digital Asset CEO and co-founder Yuval Rooz expressed his excitement about the funding round, stating, “With growing participation from global financial institutions and market participants, we expect this funding round to help us solidify our role as the backbone of digital finance.” The company offers various digital asset services to clients, including major Wall Street players like Goldman Sachs and Citadel. Founded in 2014 by Rooz, a former trader turned entrepreneur, Digital Asset competes with other blockchain firms like Ripple, R3, and Consensys.
The funding will be used to further the adoption of the Canton Network, a public blockchain initially developed by Digital Asset but now open-source. The network is designed for financial institutions to securely move assets and data while complying with regulatory and privacy requirements. Banks and trading firms are utilizing Canton to tokenize real-world assets such as bonds, commodities, and money market funds.
Rooz highlighted the potential of the Canton Network, stating, “This raise will allow us to build upon the continuing momentum around the Canton Network and accelerate the onboarding of more high-quality assets, finally making blockchain’s transformative promise an institutional-scale reality.” According to the CEO, the network currently supports trillions of dollars in tokenized assets.
As large financial institutions continue to embrace the crypto space, Digital Asset’s latest funding round positions the company as a key player in the evolving landscape of digital finance. With support from industry leaders and a focus on innovation, Digital Asset is poised to drive the adoption of blockchain technology in the financial sector.
