Clear Street reaches unicorn status after $165 million round

Capital markets fintech Clear Street has achieved unicorn status after completing a US$165 million Series B funding round led by investment firm Prysm Capital.

This is the fintech’s first venture capital round since its inception four years ago, and gives it a valuation of $1.7 billion.

Clear Street says the cash injection will help it expand its capabilities to serve fintechs, market makers and professional traders who started with a premier brokerage platform for institutional investors. The company says it is on a mission to build better infrastructure and improve market access for everyone.

Committed to “better technology” for all

Other investors included NextGen Venture Partners, Walleye Capital, Belvedere and McLaren Strategic Ventures as well as various angel investors.

Chris Pento, Co-Founder and CEO of Clear Street, said, “We founded Clear Street to replace outdated technology infrastructure used in capital markets. It shouldn’t take six months to open an account or a year to start trading a new asset class. Customers demand better technology and better service. Clear Street is mobilizing to tackle this problem head-on. Our cloud-native platform provides the services and data investors need to compete in today’s markets. »

Co-Founder and CTO Sachin Kumar continues, “We started with prime brokerage, an area where we had experienced first-hand the frustrations of using outdated technology. As we have developed premium services, we have realized that 80-90% of the infrastructure used to serve prime brokerage clients is the same infrastructure used by other market players, such as fintech app developers or market makers. We have been heavily focused on building API-centric platforms such as clearing, settlement and custody so that we can scale to other parts of the market. »

A period of growth for Clear Street

The closing of the Series B round caps off an impressive 18 months for the New York-based company. Since the start of 2021, Clear Street has seen a 220% increase in funding balances and over 500% growth in equity trading volumes. Today, it processes more than US$3 billion per day in transaction volume.

It also set out to expand its management team at all levels and now has nearly 100 engineers working in the areas of product development and customer needs. Clear Street is committed to further developing its people and resources with this latest investment of $165 million.

Matt Roberts, co-founder and partner of Prysm Capital, says: “Capital markets lag behind in innovation and often rely on outdated technologies that make markets difficult and expensive to access. Under Chris and Sachin’s leadership, Clear Street has built a cutting-edge platform that rivals established street players. We are proud to partner with the team to expand their offerings and improve access to government markets.

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