Bitcoin-friendly Twitter CEO Jack Dorsey has made a direct investment in a fledgling cryptocurrency company as part of its latest funding round.
CoinList to launch crypto exchange and wallet
CoinList serves as a platform for other startups to raise capital via tools such as token sales, airdrops and hackathons.
The company raised a total of $10 million in the latest round, having operated on the market since 2017. It will now seek to enter the exchange sector, along with launching a wallet.
“Crypto needs a trustworthy platform for launching new projects. CoinList leads the industry in that role, and trading is a logical next step,” the Wall Street Journal quoted Dorsey as saying.
The rebirth of token fundraising?
The move comes at a delicate time for the token industry. As Cointelegraph reported, tightening regulatory controls worldwide have resulted in fundraising tools that were popular at the time of CoinList’s genesis being no longer viable.
Among them are initial coin offerings, or ICOs, which have all but disappeared since last year.
Last week, Square announced it was moving into incremental stocks sales, Dorsey tweeting that cryptocurrency purchases were a suitable alternative for those who were not interested in owning equity.
He added that he himself was not interested in participating in Facebook’s digital currency, Libra.