Meow, a startup that opens corporate treasurers up to crypto markets, has raised $22 million in a round led by US investing giant Tiger Global.
Founded in 2021 by former staffers at crypto exchange giant Gemini, Meow provides a cash-based, compliant bridge to potential high-yield strategies for corporate treasurers. The startup boasts yields of up to 4% with some customers praising its ability to deliver better returns than keeping cash in a deposit account.
Brandon Arvanaghi, the Meow CEO, said that until now cryptocurrencies had not been included in the sector because a compliant solution was not available.
"Bryce and I were both early employees at Gemini and we saw which areas of the crypto space made money and which didn't," Arvanaghi told Insider.
"Our initial idea was for a B2B suite around stablecoins but we couldn't go straight to market with that. We needed a wedge. We saw an insane demand for higher yields on treasury and now we are one of the first in this market."
Meow first raised $5 million in seed funding, when it launched in November 2021 with backing from Coinbase Ventures and Gemini Frontier Fund. Now the company has raised $22 million in Series A funding in a round led by Tiger Global with participation from QED Investors, cryptocurrency exchange FTX, Archetype, and others.
The company will use the fresh funds to develop new products, especially in the stablecoin space, Arvanaghi said. He said stablecoins would revolutionize the world and that the market for them was just getting started.
"The fundamental idea here is that most fintechs are built on financial rails of the past, but now you can build on the financial rails of the future," Arvanaghi added.
To date, Meow has built its product with a team of nine employees. Now some of this new capital will go towards new hires and marketing.
"We think crypto is a directionally obvious bet to focus on and think the same of the corporate treasury market too," Arvanaghi said. "That's what excites us, we really want to be a household name as early as a year from now."