Sparrow, a digital assets trading platform headquartered in Singapore, has raised $4.4 million in series A funding led by Asia investment firm Gain Loyal Pte Ltd.
Sparrow said in a statement, with this investment, it aims to accelerate its business growth by investing in its platform, products, services, and people.
“We are pleased to have Gain Loyal Pte Ltd as our investor. This long-term partnership puts us in a great position to boost Sparrow’s competitive edge to serve financial institutions and wealth managers better,” said Kenneth Yeo, Chief Executive Officer of Sparrow.
According to the statement, Sparrow intends to use the funds to create more innovative solutions that bridge the gap between traditional finance and digital assets, whilst raising confidence and trust among clients.
At the same time, Sparrow will accelerate digitalization to enhance the quality of its platform in terms of security, user experience, and compliance.
With the Series A funding by Gain Loyal, Sparrow also aims to attract talent in risk management, trading, technology, and operational excellence. It will also improve its KYC, AML, and CFT regulatory framework and continue to grow its workforce across all its functions.
“With Sparrow, we embrace the same long-term vision of accelerating the cryptocurrency industry through relentless enhancement of the platform and cutting-edge solutions. We are confident our investment in Sparrow will create exciting opportunities for investors of digital assets and raise confidence and trust among financial institutions and wealth managers in Singapore,” said Charles Lim from Gain Loyal.
According to him, Sparrow also possesses the expertise and a wealth of experience dealing with digital asset solutions-focused heavily on risk management, compliance, security, and technology–all of which are essentials in the cryptocurrency space.
Founded in 2018, Sparrow is a startup that offers innovative products and solutions for institutions. The firm offers a range of products and solutions on its platform, including self-service options trading for individuals and digital asset solutions for financial institutions and wealth managers.
The company also designs bespoke digital asset solutions to support financial institutions and family offices to achieve their growth objectives, without compromising on financial reporting and compliance requirements.
With cryptocurrencies gaining mainstream acceptance, Sparrow said it has sought to increase overall user confidence and trust.
As of October 2021, Sparrow generated over $3.5 billion of notional volume through its trading platform and the company had more than $300 million of assets under management.
As Singapore begins its Covid-19 road to recovery, Sparrow said it is well-placed to accelerate its business growth doubling its in headcount in 2021. It follows an ongoing hiring process that has continued to attract the best talent to the rapidly growing company.
The firm’s Series A funding rounds have generated a total of $9 million with contributions from 100X Group, FinLab EOS, Arrington XRP, Signum Capital, and Du Capital.