French startup, Ledger, has successfully raised an additional €100 million ($108 million) in a Series C funding round extension, bringing the total amount raised to €456 million ($493 million). The company, which designs and manufactures hardware wallets to secure crypto assets, has managed to attract a long list of investors, including new investors True Global Ventures, Digital Finance Group, and VaynerFund. Existing investors, such as Cathay Innovation, Morgan Creek, and Cap Horn, have also reinvested in the company.
Hardware Wallets with High-Security Standards
Ledger’s main products are hardware crypto wallets with high-security standards. Its current devices are shaped like USB keys and feature a tiny screen to confirm transactions on the device. The private key of the crypto wallet never leaves the device and is stored in a certified secure chip. Users can send crypto tokens by using another device like a computer or a smartphone, and validate the transaction with the private key.
When a user first boots up their Ledger device, the company requests them to write down a 24-word recovery phrase on a piece of paper. The recovery phrase must be stored in a safe place, as it allows users to recover their wallets in case they lose it. However, having a secure wallet doesn’t prevent scams, as Ledger discovered in July 2020 when a data breach led to phishing campaigns with scammers trying to obtain recovery phrases.
New Products and Revenue Streams
In addition to hardware wallets, Ledger offers enterprise solutions to secure crypto assets with governance and treasury management features. The enterprise platform also offers DeFi and NFT management features. Ledger Live, the company’s software application, offers staking opportunities and integration with third-party products.
Ledger’s flagship product is the Ledger Nano S Plus, the most recent iteration of the Ledger Nano S. The Nano S Plus has a small black-and-white display, two buttons, and a USB-C port, and costs $79. The company also sells the Ledger Nano X, which has a built-in battery and a Bluetooth chip, allowing users to connect to a smartphone using Bluetooth.
More recently, Ledger unveiled the Ledger Stax, designed in partnership with Tony Fadell. This high-end wallet costs $279 and features a large E Ink display similar to a Kindle display. Users can sign transactions and manage NFT collections with the device. As it’s an E Ink display, the name of the wallet remains visible even when the device is turned off or the battery is empty.
Strong Growth and Future Plans
Since its inception in 2014, Ledger has sold 6 million devices and sold 1 million devices between June 2022 and February 2023. The company estimates that it secures 20% of cryptocurrencies and 30% of NFTs worldwide. The FTX debacle has highlighted the importance of securing crypto assets with hardware wallets, and Ledger’s success is a testament to this fact.
Ledger plans to use the funds from its Series C funding round to expand its enterprise solutions, develop new products, and hire new employees. The company aims to become a leader in the crypto asset security space and provide users with peace of mind that their assets are secure.
In conclusion, Ledger’s successful Series C funding round extension has allowed the company to continue its growth and development of hardware crypto wallets with high-security standards. With the increasing popularity of crypto assets, Ledger’s products have become a must-have for anyone looking to secure their assets.
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