Leading investment bank Goldman Sachs has recently joined other investors in a $28 million Series A funding round for the blockchain infrastructure firm Blockdaemon. The funding round was the company’s biggest in its history and comes at a time when blockchain-based businesses are seeing increased demand.
This article will provide an overview of the investment and discuss its significance within the blockchain industry.
Overview of Goldman Sachs
Goldman Sachs is a leading global investment banking, securities and investment management firm founded in 1869. It provides various services such as financial advisory, underwriting, capital raising and asset management across industrial, consumer, technology and healthcare sectors.
As of 2020, the firm has under supervision $1.07 trillion in assets and over 37,000 employees in 43 countries with offices on all five continents. In addition, Goldman Sachs has extensive experience working on blockchain projects for clients worldwide and continues to develop innovations for customer solutions through its Ventures group.
The firm is consistently ranked among the best workplaces for professionals exploring the intersection between finance and technology.
Overview of Blockdaemon
Blockdaemon is a US-based blockchain infrastructure provider powering multi-cloud, multi-protocol node deployments for top companies worldwide. Founded in 2016, the Blockdaemon team is an essential partner to global businesses seeking to rapidly deploy nodes on multiple blockchain networks.
The company’s mission is to make node deployment easy, reliable, and scalable by providing enterprises of any size with automated tools for launching and managing nodes across networks. Blockdaemon’s products allow customers to easily spin up full nodes on leading networks and explore use cases such as staking, validating transactions, running smart contracts, processing payments, and more– without worrying about technical complexity or resource overhead. The company also offers transaction aggregation and professional services around custom wallets and decentralized applications (DApps) development.
Blockdaemon has raised over $30 million in financing from investors such as Goldman Sachs, Serena Capital, Framemerk Ventures (the venture arm of Frames Boxing Gym), Among Lions Group (investment fund), Bullpen Capital & GC1 Ventures (an Israeli government backed fund through the Israel innovation authority) in addition to strategic angel investors.
Goldman Sachs Involvement
Goldman Sachs recently joined many investors to participate in a $28 million Series A funding round for the blockchain infrastructure firm Blockdaemon. This announcement comes just a few months after Goldman Sachs invested in the cryptocurrency trading platform BitGo.
This new investment indicates Goldman Sachs’ increasing interest in the blockchain space and is a sign of the greater legitimacy given to blockchain technology.
Goldman Sachs joins $28 million Series A for blockchain infrastructure firm Blockdaemon
Goldman Sachs has joined a $28 million Series A financing round for Blockdaemon, a cloud-based blockchain infrastructure firm. The Series A was led by SoftBank Group and includes participation from existing investors, such as Rising Tide and Y Combinator.
Blockdaemon is an end-to-end enterprise-grade blockchain infrastructure platform that provides access to the services available in different blockchain networks. It allows users to deploy high-performance nodes in any cloud environment with just two clicks. Blockdaemon also provides tools for network monitoring, node deployment and management, staking, governance functions, analytics and monitoring dashboards.
The funds will be used to accelerate product development activities and expand Blockdaemon’s presence worldwide to better capitalize its position in the rapidly growing space of blockchain technology development. This funding round marks the second investment from Goldman Sachs into a blockchain business after they led a $50 million investment round into Axoni earlier this year.
In addition to their investments in companies within the technology spectrum, Goldman Sachs is actively involved with different initiatives within the space by joining forces with other financial institutions such as JP Morgan, which is working on its blockchain platform, Quorum. The firm is yet again demonstrating their enthusiasm for investing and exploring emerging technologies that can redefine traditional business environemnts like finance or banking.
Goldman Sachs Joins Other Investors in Blockdaemon Funding Round
Goldman Sachs recently became involved with the blockchain technology and infrastructure firm, Blockdaemon. On December 18, 2020, the firm announced that it was joining other investors such as Galaxy Digital Ventures and Howzat Partners in a Series A funding round for Blockdaemon. The round raised $28 million and will be used to help further the development of blockchain-based infrastructure solutions. The investment marks Goldman Sachs’ second foray into blockchain technology after investing in Layer1, a digital asset manager in 2019.
Blockdaemon is known for its multi-cloud capabilities which allow users to run their nodes (computers connected to a network) through several cloud providers while still having control over security protocols. Most notably, Blockdaemon integrates with Microsoft Azure and Google Cloud Platform, allowing cryptocurrency setup on both platforms with just one mouse click. The company has been steadily picking up steam with large finance companies such as JPMorgan Chase showing interest in its technologies.
With Goldman Sachs joining these other investors in Blockdaemon’s Series A funding round it is clear that blockchain-based solutions are getting more financial backing from major institutional players who wish to innovate around this disruptive technology and offer better experiences for users across multiple industries such as financial services, healthcare, supply chain management and more. Furthermore, by providing additional resources for developing these solutions, Blockdaemon will be able to service even more clients looking for efficient infrastructure protocols to establish their businesses on the distributed ledger technology (DLT).
Benefits of Investment
Goldman Sachs recently joined other investors in a $28 million Series A funding round for blockchain infrastructure firm Blockdaemon. This is a significant investment that can provide numerous benefits, both to investors and the company.
Let’s discuss some of the advantages of investment in Blockdaemon.
Benefits of Goldman Sachs Investment in Blockdaemon
Goldman Sachs joining the $28 million series A investment round for blockchain infrastructure firm Blockdaemon marks an important milestone in the burgeoning crypto world. As one of the world’s most influential and respected investment banks, their entrance into the space adds urgency and perceived legitimacy to other players already in the market.
The infusion of capital into Blockdaemon means they will be better positioned to fuel their drive towards further innovation, expansion and adoption of blockchain services among institutional players. Goldman Sach’s presence will also likely inspire greater confidence from potential customers and partners, thus helping to solidify Blockdaemon’s position as one of the leading Blockchain infrastructure providers.
In addition to Goldman Sachs joining the funding round for Blockdaemon, there are numerous benefits associated with cryptocurrency and blockchain investments.
The decentralized nature of this technology removes third party interference from transactions between two individuals or entities, which opens a variety of new possibilities. It also introduces transparency which helps reduce cases of fraud or corruption that have long plagued traditional practice scenarios surrounding online transactions or data transfer activities. Furthermore, due to its decentralized nature, Blockchain reduces certain risks associated with operations involving centralized networks such as data breaches or privacy issues within companies or industries that handle vast amounts of sensitive information daily.
In addition to these clear advantages — smart contracts and distributed ledgers offer an additional layer efficiency boosting capabilities like cost savings with reduced paperwork and faster completion times as data is distributed across participants instead being processed by one central source — which can make all round operations more secure, agile and efficient while maintaining compliance requirements in various sectors such as finance or supply chain management.
By investing in forward-thinking technologies like Blockchain – Goldman Sachs is setting a positive example for other institutions who recognize both its responsiveness to customer needs—as well paving way for broader adoption — ushering a technological revolution at scale across multiple sectors worldwide.
Benefits of Other Investors Involvement in Blockdaemon Funding Round
Due to other investors joining the $28 million Series A for blockchain infrastructure firm Blockdaemon, companies will benefit from the technological advancements associated with blockchains and related services. Blockchains can help companies improve their processes, maximize efficiency, and reduce costs due to ledgers updated simultaneously across a distributed network of computers instead of centralized databases.
Goldman Sachs has announced their involvement in the Round A Financing of Blockdaemon as part of the surge in institutions’ adoption of blockchain technology. With their participation, they can help shape and direct Blockdaemon’s vision as they continue to develop services that can support several use cases such as decentralized finance (DeFi) applications and cryptocurrency exchanges, among many others.
In addition to Goldman Sachs’ well-known financial investment arm, some other institutional investors involved in this funding round included Hedge Fund Investor Coatue (TCV Alum), Blockchain Investment Platform Binance Labs, Investment Banker Nomura Holdings Inc., and Silicon Valley VCs Andreessen Horowitz and Obvious Ventures. Their participation is likely to bring technical expertise and capital infusion into the company which can propel further growth despite any challenges faced during pandemic times.
By tapping into the resources available through these global networks, Blockdaemon stands poised for expansion worldwide adding new customers within a wide array of businesses seeking blockchain solutions that offer scalability, interoperability and security features necessary for mission-critical applications. With this visionary gathering of investors focused on driving innovation there is no doubt that Blockdaemon’s Series A funding will bring forth positive results far beyond what one company alone would have achieved.
Goldman Sachs’ investment into blockchain infrastructure firm Blockdaemon is a testament to this technology’s potential to revolutionize banking and financial services. It is an endorsement from one of the world’s most prestigious investment firms, and it shows investors’ confidence in this innovative technology.
This article will discuss the implications of this investment, and how it could shape the future of blockchain technology.