FinFabrik, a Hong Kong-based fintech startup developing capital markets software, has raised an undisclosed amount in a seed funding round led by BitMEX Ventures, the investment arm of Seychelles-based HDR Global Trading Ltd., the operator of the BitMEX cryptocurrency exchange and derivative trading platform. The startup said it will use the new capital injection to expand its FinFabrik platform capabilities and develop new products based on digital assets.
“Our team is focused on creating solutions that enable asset owners to deploy their assets and liabilities,” said Alex Medana, co-founder and CEO of FinFabrik.
“The successful closing of our seed round with support from leading institutional investors is a major milestone for FinFabrik. With this vote of confidence and continued support from our key partner BitMEX Ventures, we are now markedly closer to realizing our vision of making investment opportunities broadly available for everyone.”
Founded in 2016, FinFabrik creates software-as-a-service (SaaS) applications to facilitate trading multiple assets such as equities and cryptoassets. Its suite of solutions includes BrokerFabrik, a platform that enables brokerages to run their entire equity trading business on one innovative platform, lower technology costs and drive client engagement, and CryptoFabrik, a cryptoassets trading platform for institutions and professionals.
As a B2B SaaS provider, FinFabrik has two categories of clients: institutions such as banks, brokerages, and wealth management firms looking to upgrade their technology, and companies dealing with newer asset classes such as cryptocurrency.
The founders of FinFabrik have been named among the top fintech influencers in the Asia-Pacific region and the company’s mission is to transform financial services leveraging blockchain and artificial intelligence (AI) and make investment available to anyone.
“We firmly believe we can achieve that with better technology and user experiences,” says Dr. Florian Matthaeus Spiegl, co-founder and COO of FinFabrik.
Especially in Southeast Asia, penetration of wealth management and trading services is still fairly low, as traditional institutions running outdated technology cannot afford to serve people without much capital to invest, he explains.
BitMEX is a bitcoin derivatives platform designed to cater to professional investors. The platform hit the industry record of more than 1 million bitcoin traded within 24 hours in August 2018.
BitMEX Ventures, which was founded last year, is the corporate venture arm of the company. It builds and oversees an investment portfolio of crypto and fintech companies developing innovative financial products complementary to BitMEX’s core businesses. Besides FinFabrik, another of BitMEX Ventures’ portfolio companies is Blockfolio, which announced a US$11.5 million Series A financing round in October that counted BitMEX Ventures as an investor.
“BitMEX Ventures is dedicated to supporting the growth of financial infrastructures surrounding emerging asset classes, such as cryptocurrencies, and supporting the world’s most innovative blockchain startups,” said Arthur Hayes, co-founder and CEO of BitMEX.
“We believe in FinFabrik’s highly-capable team and its mission of creating institutional-grade investment opportunities that allow everyone to participate in building their own wealth. We strongly believe in financial inclusion opportunities and the technology created by FinFabrik will have a lasting impact on the next generation of professional trading tools for digital assets.”