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Goldman Sachs backs blockchain startup Axoni in $32m funding

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Goldman Sachs and Nyca led the Series B raise for enterprise blockchain company Axoni. The startup competes with the likes of Digital Asset and R3.

Axoni’s total funds raised to date stand at $55m. Other backers include Andreessen Horowitz, Citi, Coatue Management, Digital Currency Group, F-Prime Capital, Franklin Templeton Investments, J.P. Morgan, NEX Group, Wells Fargo, and Y Combinator.

The company previously announced completed PoCs and pilots in equity swaps and derivatives. It is also a leading member of a group of technology companies that are working with The Depository Trust & Clearing Corporation (DTCC) on a new derivatives solution. That project involves an unusual collaboration of Axoni, R3, and IBM, but the technology comes from Axoni.

In addition to its Distributed Ledger Technology (DLT) AxCore, the company also has an AxLang smart contracts language that is compatible with Ethereum. More importantly, AxLang enables formal verification which is highly desirable in financial services and beyond.

“Axoni has established itself as a market leader in enterprise blockchain, delivering solutions that can be used at scale across financial markets. We are pleased to work with them as they execute their strategy,” said Ashwin Gupta, Managing Director of Goldman Sachs.

“We believe Axoni has clearly become the leading enterprise blockchain company, and has executed in an impressive way on each of its major projects, all with top tier partners,” said Hans Morris, Managing Partner of Nyca Partners.

C. Thomas Richardson, head of Market Structure and Electronic Trading Services at Wells Fargo Securities said: “The adoption of distributed ledger protocols in capital markets resembles the early days of adopting TCP/IP for distributed enterprise applications. We continue to be impressed with Axoni’s ability to facilitate such adoption by identifying use cases that could benefit from blockchain technology.”