Alt21 raises $12.5 million to redefine hedging market

In October 2023, Dublin-based fintech company Alt21 successfully closed a $12.5 million Series A funding round, significantly exceeding its expectations. This funding round, which was oversubscribed, was supported by a network of super angel investors, reflecting high investor confidence in the company’s innovative digital hedging platform. Alt21, previously known as Assure Hedge, was founded in 2016 by Barry McCarthy, a former financial derivatives trader, aiming to help businesses mitigate currency risks through an efficient digital solution. The platform employs advanced technology specifically used in high-frequency trading to automate essential tasks within foreign exchange (FX) transactions, thereby lowering operational costs for its clients. The infusion of capital will enable Alt21 to accelerate its global expansion strategy, which includes enhancing its sales and marketing teams and developing new products that extend beyond FX hedging. The company has ambitions to create solutions that are not only faster but also more cost-effective compared to traditional providers. Pritesh Ruparel, CEO of Alt21, expressed excitement about the support from experienced investors, underscoring the urgent demand for a transparent and efficient alternative to the current opaque pricing practices prevalent among banks and fintechs. Richard Hayes, the chair of Alt21, echoed the company's potential by highlighting the increasing global volatility that necessitates innovative approaches to financial hedging. Recently, Alt21 has focused on adding industry veterans to its board, such as Giles Palmer, the CEO of Brandwatch, and Eoghan Quigley, former senior partner at KPMG and president of the Dublin Chamber of Commerce. The strategic move aims to bolster the company's leadership and market presence in the rapidly evolving fintech landscape. With the enhancements brought by the latest funding, the company aims to streamline FX transactions, making them less cumbersome than those offered by traditional service providers. The swift changes in the financial markets and the inadequacies of existing solutions present a prime opportunity for Alt21 to capture a significant share of the market by providing unmatched cost and time efficiencies to enterprises across the globe. In light of recent events and advances in technology, many organizations remain under or poorly served, thus elevating Alt21's innovative position in the market. Given the high levels of market volatility and the challenges faced by traditional financial entities to innovate, Alt21 is well-positioned to meet the growing demand for accessible hedging solutions. The company’s strategic planning and execution could redefine standards within the hedging sector, paving the way for a more accessible and efficient approach that benefits businesses worldwide.