Equity Crowdfunding Platform Republic Announces $36 Million Round

Home » FinTech » FinTech News » Equity Crowdfunding Platform Republic Announces $36 Million Round

Equity Crowdfunding Platform Republic Announces $36 Million Round

Equity crowdfunding platform Republic has just announced that it’s raised $36 million in its latest funding round. The Series A was led by Galaxy Interactive while Tribe Capital, Motley Fool Ventures, and Broadhaven Ventures also participated. With the new round, Republic has now raised more than $70 million since its founding in 2016.

Republic’s platform allows both accredited and retail customers to invest in startups, cryptocurrency, real estate, and videos. On the site, investors can browse projects and companies along with how much each listing is trying to raise, what venture capital firms are also backing them, and more information about the company’s pitch. While each opportunity has its own minimum investment requirement, these start as low as $10 — although the average is between $25 and $250. Akin to regular crowdfunding sites, startups may even offer perks or other benefits to investors at certain tiers. Meanwhile, the platform also includes an Autopilot feature, which will automatically build a portfolio for investors based on certain criteria.

According to a blog post by the company, the latest funding comes as Republic has seen impressive growth over the past year. They note that, in January and February of 2020, the platform enabled 22 deals totaling $4.3 million, compared to $17.45 million across 48 deals in the first two months of 2021. Meanwhile, the firm also recently announced acquisitions of three companies: Compound, NextSeed, and Fig.

Commenting on how the Series A will impact Republic and its mission, CEO Kendrick Nguyen said in a statement, “We have entered a new era of investing, one in which all stakeholders of a business can become shareholders. The support of marquee institutional investors in Republic’s funding round is indicative of the vast potential of our mission: to enable investors everywhere to align their passion with profit.” Elsewhere, Galaxy Interactive partner Richard Kim said of the company’s investment in Republic, “We are at the early stages of a multi-decade super-cycle of retail empowerment. Republic is at the forefront of this trend, and there is no team that better understands the intricate web of consumer tech, finance, and regulation needed to bring real innovation to the private investment space. We are thrilled to partner with Ken and team, and look forward to the amazing opportunities they will enable in the years to come.”

Although the popularity of equity crowdfunding may have grown at a slower pace than some would have predicted, deals like this suggest that the concept is primed for a larger breakout. Not only will Republic’s newfound funds allow them to reach new customers but their recent acquisitions will surely help their platform become a destination for investors of different stripes. What’s more, Republic’s success could also spell good news for FinTechs who want to explore the possibilities of equity crowdfunding in addition to traditional VC raises. Because of this, expect to hear a lot more about Republic throughout 2021 and onward.

Comments

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Author

Jonathan Dyer

I'm a small town guy living in Los Angeles looking to make solid financial decisions. I write for a number of finance websites, including HuffingtonPost and Business2Community. I founded DyerNews.com in 2015 to focus on personal finance and the emerging FinTech markets.

Other Articles by Jonathan Dyer

Survey Highlights the Growing Popularity of "Buy Now, Pay Later" Services

When many Americans go to make a large purchase, they typically have a few options. Aside from paying in cash, there's also traditionally been the option to put a purchase on a credit card — which results in paying interest if the charge isn't paid off quickly. Meanwhile, although some...

Automated Identity Verification Tool Veriff Raised $69 Million

One of the major challenges inherent to the FinTech sector involves regulation. While many startups aim to offer an easy and seamless experience to users, there are still several important steps they need to take in order to onboard customers while remaining compliant. This includes verifying the identity of applicants...

Chase and United Launch United Quest Card with Up to 100,000-Mile Bonus

Continuing what's been a slew of recent promotional pushes for travel credit cards, another airline co-branded credit card is making its way to market — and making a splash with a big bonus. Introducing the United Quest card from Chase. While some details about the United Quest card were revealed...