Crypto investment app raises $700,000 in SEC-approved crowdfunding sale

A non-custodial app that allows users to invest in cryptocurrencies, Ember Fund, just concluded its crowdfunding sale. The sale managed to raise a significant amount of $700,000. It is also worth mentioning that the sale was registered and approved by the US SEC.

This also means that the sale was held under the Securities and Exchange Commission’s Regulation Crowdfunding. As some may know, the so-called Reg CF allows firms that meet certain criteria to raise up to $1.07 million within 12 months.

The firm exceeded its initial goal

Ember Fund’s CEO and co-founder, Alex Wang, said that the firm initially targeted a smaller amount of only half a million. “Our initial goal was only to raise $500,000, but we increased allocation because as the sale went on, we saw new growth channels to deploy capital.“

Now that the campaign has ended, the next step is to use the funds, and Wang also commented on those plans. “We will be aggressively deploying this capital on customer acquisition and building out the smart contract technology that powers the Ember app,” Wang revealed.

The company held the sale by utilizing the services of a known investment platform, Republic. As for its product, it sold securities known as Crowd SAFE (Simple Agreement for Future Equity).

This is an investment contract that basically entitles investors to equity in cases when the firm goes public. The same is true if the firm gets acquired by another entity.

It is also worth mentioning that the crowd sale attracted quite a few major investors. Some examples include Growth Technology Partners’ David Weisburd, as well as Flight Ventures’ Gil Penchina. Also, there is also the Kleiner Perkins’ anonymous former partner, as well as many others.

Ember Fund’s rapid progress

Ember Fund launched its app last year, in order to allow users to invest in managed crypto portfolios. It already has several portfolios listed as offerings. Those currently include Big 3 Weighted Fund, Marius S-Tier Fund, Quant Fund, DataDash Index Fund, as well as Ember 5 Weighted Fund.

Since launch, the app saw around $6 million in deposits, although it processed about $20 million in transactions. Wang said that the company is very close to being profitable and that this might happen in the next half a year or so.