Small investment app Aussie Crypto Bamboo raises $3 million, eyeing the US market – News Couple
CRYPTO NEWS

Small investment app Aussie Crypto Bamboo raises $3 million, eyeing the US market

Blake Cassidy, CEO of Australian micro-investment app Bamboo, has claimed that the Australian Securities Exchange (ASX) bias against listing crypto companies is draining the Australian brains of leading firms looking for a US listing.

Cassidy’s comments come the same week the company announced a $3 million (AU$4 million) Series A investment round including participation from Australia’s largest crypto hedge fund, Orthogonal Trading, Mountain Ash Investment Management, and VP Capital .

Bamboo is a small investment app that allows users to buy small amounts of cryptocurrencies such as BTC and ETH by rounding off to the next dollar on each purchase and using the difference to buy any asset offered by the app.

Cassidy told the Sydney Morning Herald that when he and his team were in the process of securing backers for the crypto-based small investment app, he was asked if it would follow a local listing in Australia. His answer to them was a simple “No”.

“Companies like ours that need to raise capital and expand quickly should look to North America because we can’t do that here.”

Bamboo may already be preparing to expand the US market and even a possible listing based on information from a recent announcement. “The company sees a gap in the market for its simple, accessible application that focuses on small savings, and uses a rounding strategy.” A portion of the $3 million raised will go towards expansion efforts in the United States of America.

Bamboo is not the first company to suggest that ASX is biased against companies dealing with cryptocurrency. Animoca Brands, the NFT game developer and virtual property behind F1 Delta and a major player in The Sandbox, was fired from ASX in March 2020 for non-compliance with ASX rules.

Animoca is now based in Hong Kong and was valued at about $2.2 billion after a $65 million funding round last month.

ASX stated that while they are aware of the interest in Australian crypto firms, the regulatory balance must be maintained to protect market interests. ASX also noted the recent temporary approval of the Bitcoin and Ethereum ETF.

Related: Blockchain forensic firm Chainalysis to open office in Australia

In July 2021, the ASX issued a warning to Australian investors against buying cryptocurrencies on exchanges due to concerns about self-ownership and stock exchange guarding. ASX believes that a more regulated environment could face some risks between self-holding and holding coins on the exchange.

Cassidy notes that there is an element of competition between ASX exchanges and cryptocurrency, and suggests, “There is likely to be an element of it being uncompetitive.”