The recent downturn in Bitcoin Ordinals can’t overshadow the noticeable growth of investments in Bitcoin-only companies. Case in point: River, a U.S.-based Bitcoin (BTC) technology and financial services company, recently announced a $35 million Series B equity funding round despite the bear market. The successful round was led by Kingsway Capital, with significant contributions from the likes of Paypal co-founder Peter Thiel, Cygni, Goldcrest, and Valor Equity Partners.
According to River’s CEO, Alex Leishman, the heightened interest in Bitcoin is predominantly driven by business and institutional adoption, as opposed to mere hype. The recent bank failures and subsequent bailouts have exposed certain weaknesses in the traditional financial system, serving as a reminder for some of the value and security that Bitcoin offers in the pursuit of a more transparent global economy.
Based in San Francisco, River manages one of the largest Bitcoin lightning nodes, facilitating payments and liquidity management for the Bitcoin Lightning Network. The company’s River Lightning API enables seamless integration with the Lightning Network, allowing businesses to benefit from near-instant and near-free Bitcoin payments. El Salvador’s Chivo wallet, a key player in the Bitcoin payments arena, already utilizes River’s services.
Like other global crypto exchanges such as Bitfinex and Kraken, River was an early adopter of the Lightning Network. There is now growing speculation that the world’s largest exchanges, Coinbase and Binance, may also adopt the network as interest in low-fee, high-throughput payments increases. Speaking at the Advancing Bitcoin conference in London, CEO Leishmegen emphasized the importance of resolving real human problems through blockchain, calling for more people to engage in this area.
As more exchanges and crypto companies turn to the Lightning Network as a potential solution, River finds itself in an excellent position to capitalize on this shift. Significantly, River is not the only Bitcoin company raising funds amidst the bear market. Unchained Capital, a custody service provider, managed to secure $60 million in funding, while investments from Bitcoin advocates worldwide have flowed into El Salvador’s education program.
In summary, despite setbacks like the downturn in Bitcoin Ordinals, the investments in Bitcoin-exclusive companies appear to be growing steadily. Driven largely by business and institutional adoption, companies like River continue to attract funding and develop in a market where others have stumbled. The growing interest in and adoption of Bitcoin Lightning Network solutions only seems to bolster their prospects further. With economic factors driving attention to the importance of blockchain technology, the future looks promising for Bitcoin-oriented businesses.
Source: Cointelegraph
