Bitcoin Suisse successfully completes Series A financing
Jul 24, 2020
Zug, July 24, 2020 – Bitcoin Suisse is today announcing the successful completion of its first-ever financing round of CHF 45 million. As a result, the company has significantly broadened its shareholder base with lead investor Roger Studer as well as a significant number of private investors, strategic business partners and clients. The capital increase concludes a strong business performance in the first half of 2020, which saw very high levels of client activity. Reputable leadership capacities – Giles Keating and Roger Studer – were appointed as new members of the Board of Directors. Moving forwards and with strong support from institutional investors, Bitcoin Suisse is now ready to embark on its next growth phase as the market leader in crypto-financial services in Switzerland and beyond.
With the successfully completed Series A financing round, Bitcoin Suisse further strengthened its capital base, with 2019 pro forma equity now totaling around CHF 100 million. The financing round included 16.4% of shares of BTCS Holding AG, consisting of 6.4% treasury shares and 10% newly issued shares. The authorized capital for the fully subscribed 10% capital increase was created at the extraordinary general assembly on June 30, 2020. Based on the terms of the financing, the current valuation of Bitcoin Suisse is now CHF 302.5 million.
Niklas Nikolajsen, Chairman and Founder of Bitcoin Suisse, stated: “The Series A fundraising we have concluded today is a milestone in the history of Bitcoin Suisse. The strength of our business model, experience, and the attractiveness of our strategy and business plan have now been validated by the market and by the investors. We greatly value the trust placed in us by our new – and current investors, the majority of whom are longstanding partners and clients of Bitcoin Suisse. I am proud of our team, which has executed this transaction in a very challenging economic environment. Seven years after founding our company, we are firmly on track to become the first European unicorn in the digital asset industry.”
Dr. Arthur Vayloyan, Chief Executive Officer of Bitcoin Suisse, stated: “Bitcoin Suisse has a unique opportunity to leverage the potential of the still nascent digital asset market and to create substantial value for our clients and investors. The success of our capital increase confirms our position as a leader and provides us with the necessary capital base, resources and strength to continue pioneering the digital asset sector as it develops towards an institutional scale industry. Building on our talent, technology and capital, we will now initiate our next growth phase, which will lead our firm towards a security token offering (STO) and a public listing.”
Dr. Arthur Vayloyan added: “The strength of our business model has so far allowed us to finance our ambitious growth strategy with our own revenues and cash flow. Taking advantage of a unique market opportunity, we will now further accelerate our growth. The proceeds from the capital increase will be used to scale our platforms and products, launch a new suite of crypto-financial and digital asset services, and seize opportunities to expand our international regulated footprint. We are convinced that our integrated service offering will enable us to gain new client segments, introduce them to the digital asset space and unlock the potential for cross-selling. Technology is at the heart of our business model. We will therefore continue to invest in our platform to provide our clients with state-of-the-art solutions and serve as a safe access point to the digital asset universe.”
The successful Series A financing follows a series of key achievements in 2020:
- Strong operating performance in the first half of 2020, driven by robust client trading and an expanded offering for private and institutional clients.
- Roger Studer, former Head of Investment Banking at Vontobel, joined the Board of Directors of Bitcoin Suisse and is a lead investor in the Series A financing. Giles Keating, who previously served as Global Chief Economist for Investment Banking and Private Banking at Credit Suisse, was also appointed as a member of the Board of Directors.
- The management team of Bitcoin Suisse was further strengthened with the appointment of Philipp Vonmoos, former CEO of the Bitcoin Suisse subsidiary Swiss Crypto Vault AG, as Head Corporate Development & Strategy. In this new role, he is responsible for M&A, strategy and partnerships for the group. He will help to coordinate preparations for a public listing, including a Security Token Offering (STO) and an Initial Public Offering (IPO), working closely with Bitcoin Suisse CEO Dr. Arthur Vayloyan and CFO Rolf Gätzi.
- Markus Perdrizat, who was previously responsible for the blockchain risk assurance practice at PwC Switzerland, will succeed Philipp Vonmoos as Head Custody at Bitcoin Suisse AG and CEO of Swiss Crypto Vault AG in August.
- Bitcoin Suisse has secured a bank guarantee from a top-tier Swiss cantonal bank. The bank guarantee, which is required by law, totals CHF 45 million and offers insolvency protection for client assets deposited at Bitcoin Suisse.