Finblox Presents Crypto Asset Management Platform, Books 56 Billion Rupiah Funding

Hong Kong-based crypto asset management platform, Finblox, managed to book an initial funding of $3,9 million or the equivalent of 56 billion Rupiah. The company has a primary focus on simplifying crypto asset management in more than 100 emerging markets.

This round is closed in two periods, involving strategic investors and managed funds that focus on crypto and fintech such as Dragonfly Capital, Sequoia Capital India, Three Arrows Capital, Saison Capital, MSA Capital, Coinfund, Venturra Discovery, Kyros Ventures, First Check Ventures, Ratio Ventures, Coins.ph founder Ron Hose, Xfers founder Tianwei Liu, and founder Lifepal Giacomo Ficari.

The fresh funds raised from this round will be used to accelerate the growth of the platform, including developing talent in the technical and product teams. In addition, some of the funds will also be used to accelerate the process of complying with regulations, marketing initiatives, and market education.

Finblox Service

Finblox focuses on providing easy and secure asset management services to stablecoin and popular crypto assets in emerging markets such as Axie Infinity and Polygon. The platform allows users to passively earn returns on their assets and has no restrictions on minimum balances or withdrawal periods.

Since launching in December 2021, the platform has been available to users in more than 100 countries. The company is also said to have seen a quadruple growth in assets under management since early 2022, and 90% of its registered users are from developing countries, mostly Southeast Asia. In addition, the interest rate offered is claimed to be the highest available in the digital asset space.

As additional information, Finblox users are promised a 15% annual yield percentage on USD Coin, stablecoin pegged to the United States dollar. This app also offers yields up to 90% on cryptocurrency other majors such as Bitcoin, Ethereum, Solana, Avalanche, and Axie Infinity. Refunds are possible through Finblox partnerships with established crypto institutional borrowers and trusted decentralized finance protocols.

The company was founded by veterans Peter Hoang and Dmitriy Paunin. Peter himself is known as the founder Gotrade stock trading app, which is supported by Y Combinator. Meanwhile, Dmitriy Paunin is the Chief Technology Officer at Coins.ph, a Philippines-based Southeast Asian trading company that has amassed more than 16 million users.

Finblox CEO Peter Hoang said, “Our core vision is to democratize wealth building for all, and providing easy access to decentralized finance is the first step. Apart from market-leading rates and daily payments, what sets us apart is our focus on simplifying the experience crypto on-ramp in a safe and secure manner, and providing educational content that empowers Finblox users to hold assets long term instead of trading them."

Regarding security, user assets are guaranteed and insured by Fireblocks Inc. ("Fireblocks"), certified digital asset custodians. In addition, the system is also protected by the Coincover crypto insurance platform. The company is known for its deep Information Security in the fintech sector and has built a platform that is resistant to most of the issues that customers can face when working with digital assets.

“Running a fast yet secure platform is our main goal, and we will always put the needs and safety of our customers above our priority. I am very proud of how quickly we brought a team of top-class engineers and professionals to develop a system that leverages the power of blockchain technology and the most trusted institutional partner,” added Dmitriy Paunin, CTO of Finblox.

Focus on Indonesian market

High inflation and low bank deposit rates have fueled a huge spike in crypto adoption worldwide, reaching over 880% in 2021 alone. Vietnam, India, Philippines, Brazil and other emerging markets ranked highest in the global crypto adoption index last year. However, only a small percentage of the global population is exposed to crypto. Given the successful adoption despite limited awareness, this represents a huge growth opportunity for apps like Finblox in developing countries.

Dragonfly Capital partner Mia Deng said, "Southeast Asia has grown to be one of the most active markets over the past year, but the product infrastructure is still lacking to support the rapidly growing demand. We believe what Peter and Dmitriy are building at Finblox will make a meaningful contribution to crypto ecosystem in Southeast Asia."

Regarding its focus on Indonesia, Peter said that as a crypto company, Finblox competes on a global scale, not just emerging markets. Indonesia is one of the main targets in the Southeast Asian region because of its enormous potential.

According to a report by Australian blockchain education startup Coinformant, Indonesia has led the way in terms of crypto interest in 2021. In the report, Indonesia achieved the highest crypto interest score with 5,73 out of 10, outperforming other countries in a combination of four factors including number of Google searches, number of articles issued cryptocurrencies, increased crypto engagement and ownership rates. Chile is in second place with a score of 5,26, followed by Argentina with a score of 4,79.

The platform is claimed to offer the highest yielding rewards available on major coins such as USD Coin, Bitcoin, Ethereum, and Polygon. In terms of focusing on developing regions such as Southeast Asia, Finblox also claims to be the only platform that offers the highest returns on the market XSGD and XIDR - stablecoin which are pegged to the Singapore dollar and the Indonesian rupiah, respectively.

In a brief interview with DailySocial.id, Peter also revealed that one of the value propositions offered by Finblox that distinguishes it from other players is its focus on user education where Finblox empowers users to invest long-term assets instead of trading them.

Regarding regulations, Finblox claims to try to provide the best service while still following the applicable regulations. For Indonesia and Singapore, Finblox has partnered with Xfers, which is licensed by the Monetary Authority of Singapore for the issuance of electronic money. Xfers also has a Fund Transfer Operator license from Bank Indonesia.

“In a developing region like Southeast Asia, it is imperative for a wealth management solution that is tailored to consumer behavior - Finblox is the solution. Peter and Dmitriy are founders with a track record in the traditional fintech and crypto sectors and have proven that they know what drives market success,” said Chris Sirise, Partner at Saison Capital.

Previously in Indonesia, Nobi was also focused on helping users increase the value of their crypto assets. Featured service in the form of Nobi Strategy, Savings, and Staking. Recently, Nobi posted an initial funding of IDR 57 billion led by AC Ventures.