Amsterdam-based Finst, a cryptocurrency exchange founded by the ex-core team of DEGIRO – an online stockbroker in Europe, announced on Wednesday that it has secured €4M in an oversubscribed Seed round of funding.
This news follows the company’s successful launch in the Netherlands earlier this year.
Finst has already drawn thousands of active cryptocurrency investors to the Dutch market through its trading fees that are, on average, 82 per cent less expensive than those of other major Dutch platforms and its focus towards safety and transparency.
What does Finst offer?
Founded in 2022 by Julien Vallet and Marcel Putina, Finst aims to offer a cryptocurrency investment platform with the lowest trading fees in the Netherlands. It will charge 0.15 per cent per transaction without minimum amount, volume commitment, or added spread.
For instance, Finst charges just €1.50 for a trade of €1000 in Bitcoin, which is, on average, 82 per cent less expensive than other major Dutch suppliers.
Through the startup’s platform, investors can diversify their wealth across 30 popular digital assets, trade 24/7 in EUR (€), and monitor the market with real-time news. Finst is already registered as a Crypto Service Provider with De Nederlandsche Bank (DNB).
According to the startup, the assets coverage will be expanded in the coming weeks to include 55+ major digital assets.
On the security front, Finst has partnered with the wallet management provider Fireblocks and is safekeeping all its clients’ digital assets in a bankruptcy-remote custody vehicle.
Finst also mentions that its platform is suitable for active traders and long-term investors, and its end goal is to become the largest cryptocurrency platform in Europe within five years.
Investors in this round
In light of the economic uncertainty, Finst reports that it attracted substantial interest from big buyers.
Deribit, which claims to be one of the largest cryptocurrency derivatives exchanges in the world, led the investment through its parent company Sentillia. Existing investors as well as angel investors also participated in the round.
Finst says that with the expertise of Deribit on the institutional segment and the experience of the Finst team in the retail market, it is in an ‘excellent’ position to establish itself as a top-tier cryptocurrency exchange made in Europe.
Luuk Strijers, Chief Commercial Officer at Deribit, says, “We are thrilled to invest in Finst and support its mission to set the highest security and transparency standards in the cryptocurrency industry.”
“Their state-of-the-art proprietary platform, bank-grade security measures, and commitment to compliance and transparency make them a standout player in the European market. We believe in the Finst team’s vision and experience and are excited to be a part of their growth,” adds Strijers.
Capital utilisation
Finst says it will use the funds to accelerate the growth of the company, prepare for international expansion and expand its product coverage.
The company will also introduce a special financial product in a few weeks to radically simplify how ordinary people enter the cryptocurrency market.
Julien Vallet, co-founder and CEO of Finst, says, “We are proud of the overwhelming interest we received from angels and institutional investors, especially in the current market environment. Our mission resonates well with our clients and within the crypto community as a whole.”
“There is a consensus that Europe needs a first-class cryptocurrency exchange which is highly secure, fully transparent and places clients’ interests above all. Having one of the largest crypto derivatives exchanges in the world as a shareholder brings us one step closer to achieving our ambition,” adds Vallet.
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