TaxBit raises $100 million in round led by PayPal, Coinbase and the Winklevoss companies

TaxBit, the software maker for calculating taxes and automating cryptocurrency accounting, announced the closing of a $100 million Series A financing round.

TaxBit Just Raised $100 Million To Solve Cryptocurrency’s Looming Tax Problem. With Utah’s largest-ever Series A funding round in the bag, @AustinRWoodward‘s on track to build a buzzy business in the process. Thank you, @alexrkonrad for sharing our news! https://t.co/3FOslzt6k1

— TaxBit (@TaxBit) March 2, 2021

Led by Paradigm and Tiger Global with participation from PayPal and Coinbase’s venture arms, Winklevoss Capital, the Winklevoss twins’ firm, Galaxy Digital founder Mike Novogratz, Morgan Creek Digital co-founder Anthony Pompliano, and other investors.

“This investment round comes as cryptocurrencies reach a market capitalization of $1.5 trillion, amid rising interest from retail and institutional investors, asset managers, companies seeking to diversify their portfolios, and the first in the industry to file the S-1 forms of bitcoin exchanges,” the press release said.

The company emphasised the importance of specialised software for the broader adoption of this new asset class.

According to TaxBit CEO Austin Woodward, the funding will help the firm scale its tax and accounting products and enable continued global expansion.

The company also expects to roll out an integrated accounting solution at the “Big Four” and SEC level by the end of 2021.

Gemini, the Winklevoss twins’ bitcoin exchange will integrate Tax Center Suite from TaxBit, which enables clients to generate reports ready for the format required by the U.S. Internal Revenue Service.

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