Zerohash, the Chicago-based digital asset infrastructure company, is looking to raise roughly $250 million at a valuation north of $1.5 billion. The move comes after the company opted out of advanced acquisition talks with Mastercard that would have valued it at around $2 billion.
From acquisition target to fundraising mode
The Mastercard discussions were reportedly well advanced before Zerohash chose to walk. The payments giant had been eyeing the company at a valuation of approximately $2 billion. Instead, Zerohash is now pursuing a private raise that values it at roughly $1.5 billion to $1.6 billion.
Zerohash’s last known round was a $35 million Series C back in October 2021, bringing its total known funding at the time to somewhere in the range of $50 million to $60 million.
What Zerohash actually does
Zerohash provides APIs that let financial institutions offer digital asset services, things like trading, custody, staking, and tax and reporting functionality, without having to build the infrastructure themselves. Its client list includes names like MoneyLion and MoneyGram. The company is licensed in multiple jurisdictions.
What this means for investors and the broader market
If Zerohash successfully closes this round, it would rank among the top-tier private digital asset infrastructure companies globally. A $1.5 billion-plus valuation puts it in rare air for a crypto company that most retail investors have never heard of.
The risk, as always with infrastructure plays, is that the market they’re building for doesn’t materialize fast enough. The gap between a $35 million Series C and a $250 million raise is enormous, and the revenue growth needed to justify that jump will face serious scrutiny from any investor writing a check at that price.
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