Amber Group, a cryptocurrency platform backed by Singaporean investment firm Temasek, has completed a $300 million funding round. The money will be distributed to customers affected by the FTX crash.
The company, which has been facing severe problems due to the ongoing bear market, recently acquired the Singapore stock exchange – Sparrow Holdings.
Trying to repay the victims
Like announced on Twitter, Series C fundraising was led by Fenbushi Capital US. Amber Group said the move shows “investor confidence” in the company’s operations and a commitment to cooperate with the platform despite its recent problems.
“As part of that future, it’s important for us to adapt and protect our customers in this challenging market environment,” the platform said.
As previously disclosed, Amber Group had no exposure to FTX or Alameda Research. On the other hand, he was an “active participant in the negotiations” in the failed trading venue.
Funds from the latest funding round will reach those customers who lost money on the platform’s products due to the FTX crash.
Amber group targeted to secure another $100 million fundraiser earlier this month, but only completed half of the planned amount, citing the negative effects of the crypto winter.
While the organization had over 1,000 employees a few months ago, it had to reduce the size of its team as a cost-cutting measure. It fired about 10% of its workforce in September e continued the layoff madness in December.
In addition, Amber Group has had to impose wage cuts and end some of its partnerships, such as the one with popular British football club, Chelsea FC. CEO Michael Wu further hinted that the partnership with Atletico de Madrid could also cease as the entity is “reducing all marketing efforts”.
The unexpected death of Amber Group co-founder Tiantian Kullander was another shocking event for the organization. The Hong Kong businessman, known as “TT”, mysteriously deceased in his sleep, only 30 years old.
The latest acquisition
Amber Group recently bought Singaporean cryptocurrency exchange Sparrow Holdings.
The latter obtained a payment institution license from the Monetary Authority of Singapore in August and offers clients a variety of digital asset products and solutions.
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