Blockchain Payments Firm Fnality Secures $95 Million in Funding Led by Goldman Sachs and BNP Paribas

Fnality, the London-based blockchain payments firm, has successfully raised an additional $95 million in a funding round led by prominent financial institutions Goldman Sachs and BNP Paribas. Participating in the round are major players such as DTCC, Euroclear, Nomura, and WisdomTree. Notably, several banks from Fnality's 2019 funding round, including Banco Santander, BNY Mellon, Barclays, CIBC, Commerzbank, ING, Lloyds Banking Group, Nasdaq Ventures, State Street, Sumitomo Mitsui Banking Corporation, and UBS, have also joined the latest funding initiative.

This development aligns with a September 2022 report from The Block, which disclosed Fnality's engagement with Broadhaven Capital Partners to pursue a Series B funding round. Fnality specializes in creating tokenized versions of fiat currency, ensuring backing by cash held at central banks. Initially known as Utility Settlement Coin (USC), the project gained attention as a consortium of banks, spearheaded by UBS, exploring the application of blockchain technology and tokenized assets for trade settlement.

The project faced regulatory approval delays in September 2020 but progressed as the Bank of England (BoE) announced access to central bank money for innovators through omnibus accounts in April 2021. Fnality, quick to respond, confirmed its application for access. In February 2022, the company conducted a proof-of-concept for issuing a tokenized security on Ethereum, with plans to launch its payment system in October 2022, according to Fnality's CEO Rhomaios Ram.