Digital Finance Group
Founded in Silicon Valley (2015), Digital Finance Group is headquartered in Singapore and focuses on cryptocurrencies, digital assets, and blockchain technology, with a preference for first-class blockchain projects in the United States. Since 2017, DFG accelerated its internationalization by executing its Singapore-centered global market strategy and has successfully become a globally operated company with over 200 employees.
DFG is managing over $550M A.U.M. to date, among which, the size of primary market assets is over 300 million USD, and secondary market assets are over 2500 million USD. DFG’s portfolio includes early investments such as Bloq, Brave Browser, Ledger X and Circle among others. This group has grown to become part of the world's top blockchain projects, representing the latest developments in blockchain infrastructures, regulated exchanges, ecosystem development, and other branch areas. DFG's forward-looking venture vision has enabled significant returns on investment for DFG and its partners.
To this day, DFG runs Matrix, a regulated cryptocurrency exchange that has received an In-Principle Approval (IPA) from the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM). In the future, under the supervision of FSRA, Matrix will be able to provide users with trading and custody services for digital assets. In addition, DFG is also on track to obtain a fund management license from the ADGM, licenses on spot exchange and custody in Bermuda, as well as a custody license in South Dakota, USA.
Moreover, DFG has contributed significantly to the technology development and community building of Ethereum Classic through investment, donation and technical support.
Since its founding, DFG has been active in leading the new direction of industry paradigms and has made outstanding contributions to the construction of blockchain infrastructures in the areas of core technologies, community building, investment sector, trading sector, etc. DFG’s efforts have been widely recognized by the industry for it has been recognized as a front runner in blockchain and digital assets.
DFG — Dedicated to Building Blockchain Infrastructures
DFG is continuously promoting the innovation of blockchain infrastructures. Since its beginning, by providing funds and technical support for premium projects in the industry, DFG has been jointly strengthening the foundation of the blockchain industry, setting up a great standard and accelerating its healthy development.
DFG continues to provide support in infrastructures like compliant exchanges, wallets and infrastructural technologies for public blockchains. It currently operates Matrix Exchange, while delivering financial and technical support for ETC.
- Matrix — A Globally Operated Regulated Crypto Exchange
Based in Abu Dhabi, Matrix is a globally operated and regulated exchange that has been dedicated to providing compliant, secure and fast crypto asset trading experience. Matrix has obtained an IPA from the Abu Dhabi Global Market (ADGM).
Matrix Exchange has its own trading platform that offers a large suite of products to consumers and corporate organizations. The platform can also facilitate API integration with banks and other institutions. Matrix is currently entering into a strategic partnership with Silvergate Bank to offer fiat currency products to allow fiat to crypto pairs in addition to crypto to crypto pairs on its platform.
Support for blockchain infrastructural technologies
As of today, DFG has significantly contributed to the technology development and community building of ETC through investment, donation and technical support. Over the years, DFG has continued to provide investment and technical support to Ethereum's core development team, Chain Safe, and Polkadot's core development team, White Block, as well as cooperations with renowned public blockchain projects like Grin, to actively drive interactions between public blockchain communities, in order to carry out extensive communications and to provide new ideas for the development of public blockchain projects.
- DFG provides multi-dimensional support for major public blockchains
Over the years, DFG has continued to provide investment and technical support to Ethereum's core development team, Chain Safe, and Polkadot's core development team, White Block, as well as cooperations with renowned public blockchain projects like Grin, to actively drive interactions between public blockchain communities such as ETH and ETC in order to carry out extensive communications and to provide new ideas for the development of public blockchain projects.
- DFG provides in-depth assistance for ETC Labs and the core development team
ETC Labs was officially launched in August 2018, aiming to provide small & medium-sized startups with technical support from top technology teams and industry leaders from around the world, while simultaneously onboarding these projects to the powerful development capabilities of Ethereum Classic. To date, there are over 400 excellent startup projects that have applied for this cooperation opportunity.
Cohort, the incubation program led by ETC Labs Accelerate, will select from among hundreds of startup submissions to ensure the finalists align with the program’s vision and goals.
Starting in January 2020, ETC Labs will partner with the Nasdaq Entrepreneurial Center and Lehigh University to drive technological innovation and to train emerging innovators and entrepreneurs. Through the Start-Up Academy at the Lehigh@NasdaqCenter, where 3rd and 4th-year students will be able to build projects on Ethereum Classic, ETC Labs extends its mission to be at the forefront of the development and adoption of distributed technologies and to collaborate with leading institutions from around the globe.
DFG — Investing in Premium Global Blockchain Projects
In addition to building blockchain infrastructures, DFG focuses on investments in digital assets and premium blockchain projects and is committed to creating a global, compliant and dynamic blockchain investment market.
At present, DFG has raised two fund rounds with AUM of $550 million, among which primary market AUM is over $250 million, with 200% ROI, and secondary market AUM is $300 million, with over 427% ROI.
In June 2019, DFG launched DFG Crypto, a cryptocurrency fund dedicated to blockchain investments, which focuses on native blockchain projects, including traffic entry projects, trading projects, as well as domestic and overseas projects with outstanding technologies, to help them with incubations and operations, while allowing domestic investors to participate in the investments of overseas premium projects.
As of August 2019, DFG Funds have invested and incubated over 10 blockchain projects, including renowned projects like Bloq, Ripio, Circle, LedgerX, Brave, Purse, RSK, Yours, Satoshipay, Pop Network, Centre, Bitso, Unocoin and Cosmos among others.
Founded in 2013 and headquartered in Boston, USA, Circle is a consumer finance startup company that provides cryptocurrency storage and fiat currency exchange services.
In 2018, strategic investment in this industry-leading project was made by DFG, to strengthen its strategies in cryptocurrency storage and circulation. Thus, DFG became another major investor of Circle after Goldman Sachs, IDG Capital, Baidu, CICC Alpha, Everbright, CreditEase and other renowned investment institutions.
Since its inception, Circle has received 5 rounds of fundraising. In May 2018, Circle received $110 million in the fifth round. After that, Circle is valued at $3 billion.
In October 2018, Circle built a stablecoin, USDC (USD Coin), which is anchored to USD based on the CENTRE architecture. USDC is regulated by a series of CENTRE policies. Since it’s 1:1 anchored to USD, for every 1 USDC purchased by the user, Circle will deposit 1 USD to a designated bank (Silvergate Bank) and send the minted USDC to the user. The current USDC has a market cap of $416 million, ranking 24th on the cryptocurrency market.
LedgerX is the first US federally regulated exchange and clearinghouse to list and clear fully-collateralized, physically-settled bitcoin swaps and options for the institutional market. The LedgerX management team comprises Goldman Sachs, MIT, and CFTC alumni, who bring financial expertise, technical talent and regulatory experience to the firm.
LedgerX has received investments from well-known investment institutions such as Google Ventures, Lightspeed Venture Partners, Miami International Holdings Inc., etc. In early 2017, DFG joined them to investment in LedgerX.
LedgerX consistently attracted DFG’s close attention by continuing to focus on trading services for Bitcoin spot, options, and futures, in line with DFG's optimistic view on cryptocurrency derivatives market, especially options, which will have a larger trading market than spot in the future. In addition, LedgerX has maintained a good operating condition since its beginning, and its consistent compliance philosophy has strengthened DFG's confidence in cooperating with LedgerX.
Right before LedgerX’s compliance application with the CFTC, DFG proceeded to invest in LedgerX. Thus, in early 2017 DFG completed its early investment in LedgerX.
On June 27, 2019, LedgerX received approval by the CFTC in advance of Bakkt, becoming the first compliant exchange to offer bitcoin futures delivered in real Bitcoins. On July 31, 2019, LedgerX launched the first physical settled Bitcoin futures contract in the United States, a new product offered to both institutional and retail investors.
Back in early 2016, DFG completed its investment in Bloq, helping the team grow rapidly. Bloq has now received investments from Ozmen Ventures, Six Thirty, CMT Digital and Hash Capital.
Bloq is a renowned provider of blockchain solutions and also a member of the Enterprise Ethereum Alliance (EEA). The company was founded in 2016 by Bitcoin developer Jeff Garzik and investor Matthew Roszak, to accelerate the development of blockchain-related applications.
Bloq currently owns Bloq Labs, an open-source experimental development center, and a new blockchain cloud storage platform, BloqCloud, launched in August 2019. In addition, in February 2017, Bloq acquired a blockchain analytics company, Skry, to strengthen its risk assessment services for exchanges and wallet service providers.
Brave is a highly secure, fast and free browser. It is a blockchain project founded by Brendan Eich, the father of Java Script and Co-founder of Firefox. Brave Browser has been released on a global level. Users can use it to watch ads and be rewarded with BAT Tokens.
Brave Browser now has 10 million monthly active users and nearly 400 privacy-preserving ad campaigns (with a stellar 14% click-through rate, compared to 2% industry average)!
BAT Token is already listed on Binance. By the end of September 2019, BAT had a market cap of $220 million, ranking No.31 among digital assets.
In mid-2016, after rigorously reviewing the overall situation of Brave, DFG determined that the project met its investment requirements and completed the early investment in it. Brave Browser has also received investments from multiple institutions including DCG, Foundation Capital, Pantera Capital, Propel Venture Partners, and Founders Fund's FF Angel.
Founded in 2015, RSK is the first open-source smart contract platform with a 2-way peg to Bitcoin that also rewards the Bitcoin miners via merge-mining, allowing them to actively participate in the Smart Contract revolution. RSK's goal is to add value and functionality to the Bitcoin ecosystem by enabling smart-contracts, near-instant payments, and higher-scalability.
Founded in 2019, Pop Network is a blockchain-based media distribution platform that allows content creators to get paid directly, in real-time, for every video view. And, it gives an engaged audience the smoothest possible video-on-demand experience with no signups, no subscriptions, and no commitment. As their society increasingly becomes an on-demand culture, media must adapt or die. This is the promise of micropayments. Viewers only pay for what they want, when they want it. This is the logical progression of a la carte programming and cord-cutting to the extreme. Pop Network gives content creators the tools to monetize their audience in a way that is truly disruptive, cut out layers of middlemen, and build a revenue stream that was previously impossible to tap.
Ripio, formerly known as Bitpagos and founded in 2013, is a financial payments company that provides electronic payment solutions for businesses in Latin America. It offers a range of financial services for the emerging markets using the blockchain technology to make a more accessible financial system. The company helps merchants process international transactions with credit cards or bitcoins for a fraction of the cost as well as consumers buy bitcoins instantly with cash.
Founded in 2014, Purse is a Bitcoin to Amazon person-to-person (P2P) service provider. Purse offers a service that acquires unwanted Amazon gift cards and certificates and then sells them to users for Bitcoin; a credit is placed in the user’s account that is then used to purchase goods from Amazon, and those who buy the cards are offered a discount on their purchases.
Founded in 2016, Yours is a blockchain-based social network where users can earn Bitcoin SV from creating, voting or commenting on posted content, aiming to improve the quality of content on the internet and to get people paid for valuable content creation.
Founded in 2013, Unocoin is a mobile wallet that enables users to buy, sell, store, use, and accept bitcoins. Users can print paper wallets and import bitcoin addresses to their own address book and also withdraw bitcoins to their paper wallets. Available on both iOS and Android platforms, it acts as a point-of-sale merchant mobile app. Unocoin was launched in 2013 and is based in Tumakuru, India.
Founded in 2014, SatoshiPay is a micropayment platform that enables digital transactions on a micro-scale. Its technology enables content providers to monetize digital goods in extremely small increments and without the need for locking up user funds. The platform allows its users and companies to trade digital goods in very small increments. Based in London, England, and Berlin, Germany.
DFG — Regulatory Compliance
DFG has global arrangements for regulatory compliance. It is currently holding regulatory licenses of exchange operations, fund management, and custody. In addition, DFG is also on track to obtain a fund management license from the ADGM, licenses on spot exchange and custody in Bermuda, as well as a custody license in South Dakota, USA.