Boston, MA-based crypto finance company Circle today in a report has announced that they has acquired SeedInvest, which is a New York City-based equity crowdfunding industry platform and an SEC and FINRA registered Broker-Dealer.
The amount of the deal has not been disclosed as of now. This acquisition, which is subject to FINRA approval, will accelerate Circle’s strategy of delivering a token marketplace that enables businesses and individuals to raise capital and interact with investors using open crypto rails and infrastructure.
SeedInvest has built a large equity crowdfunding platform which has enables hundreds of startups raise capital online via a network of over 200,000 investors. Apart from just that, the company has generated triple-digit annual revenue growth at the time of reaching the high profitability.
“This acquisition will accelerate our strategy of delivering a token marketplace that enables businesses and individuals to raise capital and interact with investors using open crypto rails and infrastructure,” Circle states.
SeedInvest, founded in 2012, is an online platform that links individuals with vetted startups. The company is selective: It says it only accepts about 1 percent of the startups that apply for a listing on its platform. Individuals who sign up on the platform can browse through that list and then, depending on their eligibility, invest in a company. All securities trades on SeedInvest are handled by SI Securities, a registered broker-dealer.
Circle already has roughly 260 employees in its offices around the globe.The SeedInvest acquisition could bring onboard another 30 employees to Circle’s New York location.
The SeedInvest product includes end-to-end capabilities needed for executing regulated crowdfunding, including startup due diligence, securities issuance, investor accreditation, payments and securities custody, as well as a broad range of innovative tools for startups to market their crowdfunding offerings online in a compliant way. With the merger and approval from key regulators, these capabilities will be expanded to support crypto-denominated investments including using fiat stablecoins such as USDC, as well as issuing and offering tokenized securities.
SeedInvest will add 30 team members to Circle’s New York location.
You may also like: