Lukka–a New York City-based blockchain data provider that says is bridging the gap between the complexities of blockchain data and traditional business needs, has raised $15 million in a funding round that State Street Corp. and S&P Global Inc participated.
Funds to Fine Tune Product Offerings and Drive Revenue
A unit of the United States accounting association AICPA also took part, boosting the software provider financial muscle. It must be mentioned that Lukka raised $6 million in June 2020.
However, they need extra capital to further develop its institutional-grade software and range of products to attract more clients in the traditional markets seeking to enter the crypto market and drive more revenue according to Lukka’s CEO, Robert Materazzi.
Planning to release a free retail portfolio tool–and further enhance the current product to support not only the USD but the top-15 fiat currencies, Jen Tribush of State Street said they were drawn to Lukka’s robust offering and their institutional approach to digital assets.
Their investment, therefore, allows them to “actively participate in developing industry/regulatory standards for reporting and administration of digital assets.”
Partnership with S&P Dow Jones Indices
Together with S&P Dow Jones Indices (SP DJI), the startup is helping the market index provider dive into the crypto market.
In their partnership, SP DJI will use Lukka data services, including Lukka Reference and Lukka Prime, to launch crypto indexes of several leading digital assets in 2021.
These indices will enable asset management firms to build custom products and investment vehicles like Exchange Traded Funds (ETFs), for example.
Lukka Reference data services track and normalize digital asset data to create a master record of cryptocurrencies and exchange information. It is this vast repository that different clients like custodians, fund administrators, or trading enterprises can connect to whenever they need reliable data.
On the other hand, Lukka Prime is an in-house pricing methodology based on the Fair Market Value (FMV) specifically for digital assets.
After falling to $3,200 in December 2018, Bitcoin prices have recovered. With the rising tide, crypto assets have posted decent results in recent months. In November, Bitcoin retested its 2017 highs, rising to print new highs in some exchanges like BitStamp.
Besides, as reported, billionaire investors now support the coin citing its store-of-value property and drawing a comparison with gold.