ZenGo raises $20 million to launch a Visa debit card

The startup behind ZenGo’s non-custodial cryptocurrency wallet has raised $20 million in a Series A funding round.

🥁Big News

We’re thrilled to announce our Series A raise led by @insightpartners

We’re honored to be their first investment in the crypto space, and excited to partner and scale up with them. #ToTheMoon 🚀🤝https://t.co/gsFB37a491 pic.twitter.com/bWqrDeePV5

— ZenGo (@ZenGo) April 27, 2021

The round was led by Insight Partners with participation from Distributed Global (backed by Temasek, Singapore’s sovereign wealth fund), Austin Rief Ventures and existing investors.

The funds will be directed toward issuing a debit card in partnership with Visa. ZenGo chief Ariel Ohayon, in a comment to The Block, said this would take place within three months.

He said the number of the company’s clients doubled in the first quarter of 2021, reaching 200,000. ZenGo plans to double its headcount and add features to the wallet for buying, selling, and exchanging cryptocurrencies, as well as a savings service.

ZenGo supports 50 digital assets and plans to expand the list.

To safeguard users’ funds, the startup has implemented multi-party computation (MPC). The technology replaces a traditional private key with its constituent fragments distributed among trusted parties.

Back in April 2019, ZenGo raised $4 million from Samsung and other investors in a seed round.

In November 2020 the startup joined the Visa Fast Track program, opening the possibility to issue a debit card.

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