Total amount raised
$253.4 Millions
Latest funding date
04/01/2024
Location
TaxBit has successfully raised significant funding through multiple rounds, with notable investors such as In-Q-Tel and Haun Ventures backing the company. The platform specializes in providing enterprise-grade tax and accounting solutions for digital assets, ensuring compliance with global regulations.
Keep reading to explore the intricacies of TaxBit's fundraising journey and the investors supporting this innovative platform.
What Is TaxBit?
Founded in 2018, TaxBit is a leading provider of cryptocurrency tax and accounting software. The company is headquartered in Draper, Utah, and was established by Austin Woodward, Bobby Clayson, Brandon Woodward, and Justin Woodward.
TaxBit operates in the accounting, cryptocurrency, financial services, fintech, and software industries. The company employs between 101 and 250 people, offering enterprise-grade solutions that automate tax calculations and reporting for digital assets.
Trusted by both enterprises and governments, TaxBit's platform ensures compliance, accuracy, and streamlined financial management, making it a crucial tool for modern digital asset reporting.
How Much Funding Has TaxBit Raised?
- Seed Round
- Amount Raised: $750K
- Date: December 2018
- Lead Investors: Album VC
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To kickstart the development of TaxBit's cryptocurrency tax and accounting software.
- Seed Round
- Amount Raised: $5M
- Date: January 2020
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the team and accelerate product development.
- Series A
- Amount Raised: $100M
- Date: January 2021
- Lead Investors: Paradigm, Tiger Global Management
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale operations and enhance the platform's capabilities.
- Series B
- Amount Raised: $130M
- Date: August 2021
- Lead Investors: Insight Partners, IVP
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support global expansion and further product innovation.
- Venture Round
- Amount Raised: $2M
- Date: January 2022
- Lead Investors: Alameda Research
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance the platform's security and compliance features.
- Venture Round
- Amount Raised: $15.6M
- Date: January 2023
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the company's market reach and customer base.
- Venture Round
- Amount Raised: Not publicly disclosed
- Date: May 2022
- Lead Investors: Haun Ventures
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To develop new features and improve existing services.
- Venture Round
- Amount Raised: Not publicly disclosed
- Date: April 2024
- Lead Investors: IQT
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To accelerate the development and deployment of commercial and government accounting solutions.
Total Amount Raised: $253.35M
Current Valuation: Not publicly disclosed
Key Investors
- IQT
- Details: In-Q-Tel is a not-for-profit venture capital firm that invests in technology to support the missions of the U.S. intelligence community.
- Investment Focus Areas: Technology for U.S. intelligence, national security.
- Notable Investments: Palantir Technologies, Keyhole (acquired by Google).
- Haun Ventures
- Details: Haun Ventures is a venture capital firm focused on investing in Web3 and blockchain technologies.
- Investment Focus Areas: Web3, blockchain technologies.
- Notable Investments: OpenSea, Autograph.
- Alameda Research
- Details: Alameda Research is a quantitative cryptocurrency trading firm and liquidity provider.
- Investment Focus Areas: Cryptocurrency trading, liquidity.
- Notable Investments: FTX, Solana.
- Insight Partners
- Details: Insight Partners is a global private equity and venture capital firm investing in growth-stage technology and software companies.
- Investment Focus Areas: Growth-stage technology, software companies.
- Notable Investments: Twitter, Shopify.
- IVP
- Details: Institutional Venture Partners (IVP) is a later-stage venture capital firm focused on technology companies.
- Investment Focus Areas: Later-stage technology companies.
- Notable Investments: Slack, Snap.
What's Next for TaxBit?
TaxBit is poised to capitalize on significant opportunities in the digital asset space, particularly in developing and deploying commercial and government accounting solutions. The strategic investment from In-Q-Tel underscores the potential for growth in enhancing digital asset technologies for tax filing, audit, and financial reporting. As the digital economy expands, the need for secure and accurate financial solutions will drive further innovation and market penetration.
Future fundraising efforts are likely, given the ongoing development and the strategic backing from key investors. These funds will support the expansion into new markets and the introduction of features like GAAP and IFRS reporting. However, navigating complex regulatory environments and ensuring the security of their solutions will be critical challenges. TaxBit's ability to adapt and innovate will determine its success in this rapidly evolving industry.
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