Crypto startup Zerohash raises $104 million from Morgan Stanley, SoFi, Apollo and others

In a significant move for the cryptocurrency infrastructure landscape, Zerohash has successfully secured $104 million in its latest funding round, attracting prominent financial institutions such as Morgan Stanley and SoFi, according to insights shared by CNBC.

The Series D funding round was spearheaded by Interactive Brokers, a global leader in automated trading solutions. The round also included strategic investors who are existing clients of Zerohash, as noted by founder and CEO Edward Woodford during a recent interview with CNBC. The valuation of the company now stands at an impressive $1 billion.

Woodford emphasized the importance of this funding round, stating, “We aimed to raise from the largest, most trusted brands in the world, using that credibility to bridge into this new technology.”

Additionally, funds managed by Apollo also contributed to this funding initiative, further solidifying the startup’s financial foundation.

Zerohash is part of a broader trend of firms, both publicly traded and privately owned, that are capitalizing on the favorable regulatory climate for cryptocurrencies following President Donald Trump’s administration.

Under Trump’s leadership, the government’s stance toward cryptocurrencies shifted from skepticism, which was prevalent under former SEC Chairman Gary Gensler, to a more welcoming approach towards this emerging technology.

High-profile executives from financial giants like Morgan Stanley and Bank of America have since expressed their intention to engage with cryptocurrency markets. SoFi’s CEO, Anthony Noto, shared his eagerness to reintroduce crypto trading in April, reflecting the newfound regulatory latitude.

Founded in 2017, Zerohash specializes in equipping banks and fintech companies to provide blockchain-integrated products across three key sectors: cryptocurrency trading, stablecoins, and tokenization, as described by Woodford.

He added, “A portion of this funding is specifically aimed at accelerating adoption across all three segments, leveraging a variety of clients who are also investors.”

Interactive Brokers has already incorporated Zerohash’s services for crypto trading and custody operations, and they are set to unveil a stablecoin product in collaboration with Zerohash, according to Woodford.

While Woodford refrained from confirming whether Morgan Stanley or SoFi are clients at this moment, he hinted that forthcoming announcements may shed light on these partnerships. Representatives from both Morgan Stanley and SoFi have chosen to remain silent on the matter.

“These firms aren’t typical venture capitalists,” Woodford noted. “You can anticipate a couple of notable announcements involving these investors in the near future.”