Amber Group is a crypto finance startup that provides an array of services including trading, asset management, and liquidity provision on a 24/7 basis. The company has recently made the news in business circles because of its uniqueness in the financial arena, along with its rapid growth and remarkable success. To help you become more familiar with the company, here are 20 things you probably didn't know about Amber Group.
1. Amber Group is four years old
According to Crunchbase, Amber Group was founded in 2017 in Hong Kong. It is a startup that was launched by a group of professionals in the finance industry from Bloomberg, Goldman Sachs, and Morgan Stanley. These co-founders got together to combine their talents in a company of their own. The founders are Luke Li, Michael Wu, Thomas Zhu, Tiantian Kullander, Tony He, and Wayne Huo.
2. Amber Group is a versatile company
Amber Group is listed on the world wide web under six different categories or industries because of the diverse services that it provides for its clientele. It is a cryptocurrency company, also a finance business. It is also categorized as a financial service provider in the information technology sector. The technology it uses to provide these services puts it in the fintech category and it also offers a trading platform.
3. Amber Group has a six-member executive leadership team
Amber Group has grown large but it is led by a relatively small executive team of just 6 members. Michael Wu is a co-founder and the chief executive officer. Tiantian Kullander is a co-founder. Thomas Zhu is a co-founder and chief technology officer. Wayne Huo, Luke Li, and Tony He are all co-founders.
4. The board of directors is comprised of five members
Amber Group has a board of directors that consists of five members. Jianwei Li joined the board in 2018. He is a Partner and CIO at ZhenFund. Mr. Li has founded 1 organization and currently sits on 2 advisory boards. Benjamin Falloon, Dan Morehead, Bo Feng, and Matt Huang are all board members who offer advisement on the direction that Amber Group takes, as a group of professionals with experience in business and leadership in the financial arena.
5. Interest in Amber Group is growing
The statistics maintained for the Amber Group website show that there is growth in the number of people who are visiting the site. A remarkable growth rate of 131.64 percent has been noted within the past 30 days. The average is 6,099 per month, giving it a ranking of 1,576,649 out of all of the businesses registered on the internet today.
6. Amber Group is a global provider
Amber Group's services extend throughout the globe. Statistics show that most of the visitors to the company's website are from the United States. Visitors from this country make up 64 percent of the total traffic. there has been a surge in visits from the US of 161.93 percent. Nineteen percent of the web traffic comes from Poland. Ten percent of visitors are from Hong Kong. Five percent are from Mongolia, and five percent are from Canada. The statistics also show that people who visit the site are staying for much longer, leading to higher conversion rates from just being visitors to actively engaging with the company and investigating the possibilities for becoming clients who use the financial services that are offered. Higher conversion rates are always good news for any company that offers online financial services to the general public.
7. Amber Group is a Venture Capital-backed company
As of June of 2021, Amber Group is a privately held company that is financially backed by venture capital investors. So far, it has raised a total of $128 million over 2 fundraising rounds. The most recent round closed on June 20, 2021, in a Series B that brought in $100 million. The lead investor was China Renaissance, which was joined by 10 other investors. A previous funding round led by Pantera Capital Paradigm brought in the first round of funding of $28 million. Paradigm was joined by 12 other investors in the Series A round of funding that closed on February 14, 2020.
8. Investor confidence is high in Amber Group
Amber Group is backed by a total of 21 investors. This group of investors has put $128 million into the startup for its expansion and growth with confidence in a good return on their investments. The Group is financially backed by Sky9Capital, China Renaissance Blockchain.com Ventures, Arena Holdings, Gobi Partners, Tiger Brokers, Coinbase Ventures, True Arrow Partners, Pantera Capital, DCM Ventures, and several others.
9. Amber Group has a unique business model
According to CNBC, Amber Group is a cryptocurrency fintech company that offers an exchange of this financial product. It takes a different approach with its business model. Instead of allowing users to trade individual digital coins, each customer is provided with a private banking experience and it's available to everyday customers. Michael Wu, CEO discussed the difference that distinguishes Amber Group from many other firms of its type.
10. Amber Group also serves the very wealthy
Part of the reason for the rapid growth and financial success of Amber Group is because it has attracted a high number of wealthy individuals and institutional investors. These clients purchase financial products from the company with large investments that have helped to build the overall value of Amber Group.
11. Amber Group uses algorithmic technology
The cryptocurrency trading services offered through Amber Group rely on algorithmic trading. In addition, the company offers lending products to its clients as well. It has become a one-stop-shop for cryptocurrency financial services. The enterprise offers investors a variety of different cryptocurrency products to choose from for investing.
12. Amber Group has big plans for growth for 2021
Michael Wu shared the firm's plans for short-term strategies which include booking a massive increase in revenue. The goal that has been set for the closing of 2021 is a revenue of $500 million. Amber Group has been a profitable company since the date of its launch. Bringing in revenue has never been an issue. Up to 80 percent of the revenue generated has been earned from its lending services and the net interest margin that it has brought in from these services. Lending resources are derived from consumer deposits as the fintech operation puts the money deposited to work by lending it to other customers and earning interest on the funds distributed.
13. Amber Group makes a profit on trading fees
Another stream of regular revenue that Amber Group generates is from the fees that it charges for trading. So far, approximately fifteen percent of the revenue that comes in has been made through trading fees charged to its customers who are involved with the various cryptocurrency products available. Amber Group has had a good pool of institutional and wealthy investors in its client base but it is looking to expand more into the individual market to reach those who are not wealthy, but interested in investing in cryptocurrency. It's a market that has yet to be penetrated by the group.
14. Amber Group is a unicorn company
Amber Group's last funding round was enough to push it over the top to become a unicorn status company. It recently joined this elite group of businesses that has a valuation of at least $1 billion or more. Perhaps the most impressive aspect of Amber Group reaching this status is the fact that it has only been in operation for four years. It is a relatively young company, but it has grown quickly since its inception.
15. Amber Group will get aggressive in its expansion
Michael Wu shared that there are plans to use the capital that was recently raised to make some changes in the company. They're looking at a strategic growth plan that includes making more acquisitions, particularly in the area of cybersecurity. They're also considering acquiring companies that possess regulatory licenses in strategic jurisdictions that would open up new markets for Amber Group. Wu also pointed out that there is a great deal of fragmentation from one country to another when it comes to the regulations imposed for financial activities related to cryptocurrency/digital finance. The acquisition strategy is one of the best ways to get a foot into certain regions because the established businesses are already in compliance and operating legally in their respective areas. One of the greatest challenges faced by financial companies involved with cryptocurrency is in learning about the regulations for different areas and then implementing strategies for coming into compliance with those measures without breaking the bank so to speak. It's so diverse that it takes a bit of research and planning before making any solid moves to expand into new territories with financial services of this nature.
16. The current workforce is still small
According to Amber Group's LinkedIn page, the number of people employed at Amber Group is still fairly low for a unicorn enterprise. There is currently 209 staff employed at the global company that has a presence in Asia and North America. When we checked on the status of hiring at the company we saw that there are currently no job openings for Amber Group. This suggests to us that the company is still in the planning stages for its workforce expansion.
17. Amber Group made 1 hire in the last 6 months
The statistics shared for Amber Group's hiring activity show that it did add one senior management member to the group within the last 6 months. This reflects a 20 percent growth in headcount for its management team. The median tenure for staff members who work for the company at this level of responsibility is 1.8 years. We can assume based on this figure that the turnover rate in management is fairly significant. It's a competitive industry and the company may need to make a few adjustments to retain its talent.
18. Amber Group seeks global talent
According to Techcrunch, Amber Group's executive team is in the process of putting together their strategic plan before moving ahead with new hires. They do plan to make new hires but they are looking for a certain type of worker. They're assuming that many of the new hires will be new to crypto financials. Amber has plans for recruitment from this pool of talent and is working on methods for making the company more interesting for professionals in this arena who will make the transition from traditional to digital. It's a challenge but they're getting their game plan together.
19. Amber Group is still privately owned
You won't find Amber Group listed on any public stock exchange, at least not yet. The company is still privately held and it receives any necessary bumps in funding through venture capital fundraising rounds. This means that you won't be able to invest in the company as this activity is not open to the general public. You can, however, invest in the cryptocurrency trading products that Amber Group offers for individuals.
20. The founders of Amber Group are all young entrepreneurs
We found the Amber Group story to be inspirational. It was launched by a group of young entrepreneurs who were all n their twenties at the time that the company was established. Every one on the founders' team was involved in investment banking, and each brings unique talents and experience in that industry. They infused unique technologies into the system that uses machine learning algorithms to quantify trading in a company that offers a diverse collection of financial services for clients. These talented young men all serve as solid role models for young entrepreneurs who are considering their business ventures. The group has raised a giant in the cryptocurrency company and show that a good idea, a few good friends, and a solid plan can take you a long way.
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Written by Dana Hanson
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