Israeli Blockchain Startup StarkWare Pulls $100M in Funding at $6B Valuation
Godfrey Benjamin Mar 11, 2022 04:00
StarkWare, an Israeli blockchain startup is on track to close a $100 million funding round, according to details gathered by local media channel, Calcalistech.
StarkWare, an Israeli blockchain startup, is on track to close a $100 million funding round, according to details gathered by local media channel, Calcalistech, the capital raise has not been announced yet, and it is expected to push the startup’s valuation to about $6 billion.
With details of the new round still largely obscure, the recent capital raise will trail the firm’s Series C round in which it pulled $50 million from investors led by Sequoia Capital. The partnership also enjoined Founders Fund, Paradigm, Three Arrows, and Alameda Research participation. After its Series C was concluded last year in November, its valuation was pegged at $2 billion, implying multiple growths in valuation should the new target be achieved.
StarkWare occupies a very pivotal position in today’s fast-growing blockchain ecosystem. The startup develops a series of blockchain solutions that are used to power a number of renowned applications in space today. StarkWare’s zero-knowledge proofs are used by platforms, including but not limited to dYdX, Sorare, and Immutable X.
The level of innovation the company is brandishing has earned it its goodwill amongst its investors and backers, one of whom is Vitalik Buterin, one of the co-founders of Ethereum. Should the Calcalistech projection be actualized, the new funding round should be concluded by May this year.
“As staff, we’re hearing that a deal may be cooking, but we’re not getting a clear sense of details. Nobody will be surprised if there is another big valuation,” an anonymous source at the company said, “It’s surreal. It just looks like another Israeli high-tech office here, but we’re seen in the crypto world as the guys who are bringing about a huge change. There are constantly rumours that this person or such-and-such a fund wants to invest. The company doesn’t need the money, so it has rejected many offers, but if a really attractive deal comes along, it could well be progressing.”
StarkWare was founded in 2018, and it currently employs about 70 staff. Its aggressive capital raise mimics that of Fireblocks, another Israeli blockchain infrastructure provider which pulled $500 million at an $8 billion valuation in January.
Image source: Shutterstock