Blockchain startup ConsenSys, founded by Ethereum co-founder Joseph Lubbin, has raised $450 million in a new round of funding, according to online sources. As a result, the company’s market valuation has more than doubled to over $7 billion. The funding round was led by ParaFi Capital, with new investors from Microsoft, SoftBank and Temasek.
ConsenSys was founded in 2014 by Joseph Lubin, who co-founded the Ethereum blockchain platform behind the world’s second largest cryptocurrency. If Bitcoin is primarily used for transactions, Ethereum can be used to build decentralized applications. The company ConsenSys itself develops software that runs on the Ethereum network.
One of the new investors in ConsenSys as part of the latest funding round was Microsoft, which does not often invest in cryptocurrency-related projects. In the past, the software giant has invested in Palm NFT Studio, a startup co-founded by Lubin. Microsoft’s involvement in the current project reflects the company’s growing interest in Web3, the concept of a new iteration of the blockchain-based internet that embraces decentralization and a token-based economy.
Web3 development is attracting more and more attention from technology startups and big players in the IT industry. According to CB Insights, blockchain startups raised a record $25 billion in venture capital funding last year. Among the big companies, meta-platforms and Twitter have already shown interest in developing Web3. At this stage, ConsenSys is viewed by investors as one of the companies that will become the backbone of Web3.
The startup’s most famous products are the MetaMask Web3 cryptocurrency wallet and a set of tools for building applications for the Ethereum network called Infura. According to the company, the number of monthly active users of MetaMask exceeded 30 million people in January this year. The wallet is most actively used in the USA, Brazil, Germany, Nigeria and the Philippines. Over 430,000 developers use the Infura toolkit.