Following the collapse of the cryptocurrency exchange FTX, the renowned trading company Amber Group announced that it had raised $300 million in a Series C fundraising round.
Fenbushi Capital U.S. served as the round’s lead investor, while other well-known crypto investors as well as family offices participated.
The monies, according to co-founder and CEO Michael Wu, were mostly for customers who had lost money on the platform’s goods as a result of FTX’s collapse.
The company chose to adjust its focus to a Series C round in order to better safeguard its consumers from potential dangers. Previously, the company had been looking to secure a Series B+ round at a $3 billion value.
In order to cope with this change, Amber Group made the difficult decision to fire 300 individuals, or 40% of its workforce. Additionally, the business reduced employee benefits and ended a sponsorship agreement with Chelsea Football Club.
The corporation claimed in a tweet that in order to remain “laser-focused,” it had to cut back on “mass consumer activities and non-essential business lines.” Despite these difficulties, Amber Group was successful in getting the backing of its Series C investors because they recognised the importance of the company concentrating on its core competencies.
The impact of the FTX collapse has been felt throughout the crypto industry, with numerous companies, including Bybit, experiencing layoffs due to the prolonged market downturn. However, Amber Group has remained active, recently acquiring a Singapore-regulated crypto platform.