Blockstream Raises New Funds But Loses 70% of Valuation Vs. 2021 Funding Round

According to a Bloomberg article quoting sources familiar with the matter, crypto infrastructure provider Blockstream aims to raise funding at a valuation of less than $1 billion.

However, Blockstream CEO Adam Back quickly corrected the article in a response to on-chain analyst Dylan LeClair who distributed the news-fact on Twitter. Back said that his company has already raised the funds.

If this is true, this signifies a huge decrease in valuation for the company, which raised $210 million in a Series B funding round with a valuation of $3.2 billion in 2021. In 2021, the company purchased Israeli bitcoin mining gear maker Spondoolies.

Blockstream, which was created in 2014, intended to expand into the production of specialized mining chips known as ASICs. The company has not formally reacted to the Bloomberg article.

In April 2022, Blockstream announced that it was one of the company’s to start a pilot crypto mine in Texas, powered by a Tesla solar installation, alongside Block, Jack Dorsey’s business.