CoinDCX has doubled its valuation to $2.15 billion (post-money) in eight months after new funding of $135 million, it said today, as the Indian cryptocurrency exchange looks to aggressively expand its product offerings and talent base, including some to doubling down on compliances in the world’s second largest internet market.

Steadview and existing lender Pantera jointly led CoinDCX’s Series D funding, the company said. Coinbase Ventures, Kingsway, DraperDragon, Republic and Kindred also participated in the new funding of the startup headquartered in Mumbai. To date, CoinDCX has raised over $245 million.

The startup, the first Indian crypto company to achieve unicorn status last year, says it has more than 10 million users. In addition to allowing users to purchase various tokens for as little as 100 Indian Rupees ($1.3), CoinDCX also offers margin trading and the ability to wager digital assets.

“What’s interesting about this round is the quality of the investors coming in and the kind of strong confidence they’ve shown in the market,” Sumit Gupta, CoinDCX co-founder and chief executive, said in an interview with . “It gives a good boost to the overall industry.”

The startup’s new funding comes weeks after New Delhi’s 30% on income crypto tax rule went into effect. The rule, which also includes a 1% tax deduction at source for each transaction, has had a significant impact on all crypto exchange trading volumes in the country, according to publicly available trackers1.

Gupta confirmed that CoinDCX has also been hit by the recent move, noting that the 1% TDS has made it slightly less feasible for some high-frequency traders to do their jobs. (Such traders make up a large portion of trading volumes.) “We continue to see new users coming to the platform, but the growth is not as high as it was two months ago, for example,” he added.

The startup plans to double its compliance efforts, he said. “We will do everything we can to make the regulators more comfortable,” he said.

CoinDCX, which also counts B Capital among its backers, is also working to educate the retail investors and help broaden the local ecosystem, he said. The startup will populate its eponymous app with byte-sized educational content and videos, Gupta said.

As for the new product offerings, CoinDCX recently introduced a new plan that allows individuals to keep investing a certain amount of money every few days. The position aims to help people understand and build a habit of investing long-term and in a disciplined way. More than 100,000 people are already taking advantage of the offer, which was unveiled late last month. “So we’ll add more,” he said.

Some of the offerings that you can exclude on CoinDCX include wealth management opportunities such as mutual funds and stocks. Gupta said crypto remains the sole focus for CoinDCX. “As a company, we are excited about a category that has the future. We will continue to double down on crypto and not explore areas that have already been resolved,” he said.

CoinDCX also plans to significantly increase its workforce. The startup, which currently employs about 400 people, plans to have 1,000 people by the end of the year.

“This is a problem, as a founder I experience a lot. There is a lack of talent pool. There is a limited number of people who have experience working in the crypto space. How can we build a kind of mechanism, which gains more and more insight and contributes to the ecosystem,” said Gupta.

The exchange, one of the largest in India and also helping to power the order book of rival Andreessen Horowitz-backed CoinSwitch Kuber (worth $1.9 billion), is also exploring building a venture arm, as popular is with other global exchanges such as Coinbase, FTX and Binance2, Gupta said, but it’s not something CoinDCX plans to launch anytime soon, he suggested.

“We have the right infrastructure and distribution, it’s very important,” he added.

“We have long been impressed by CoinDCX’s vision to build a thriving Web3 ecosystem in India and have been delighted to support the team’s execution in building the most customer-centric and feature-rich crypto assets. exchange in India following our initial investment in 2021,” said Ravi Mehta, director of Steadview, in a statement.

“We are excited to now deepen our investment to fuel the growth of one of the most beloved Web3 companies in India.”

Unlike Binance, which has its own token called BNB, and FTX, which runs FTT, CoinDCX has no plans to introduce its own native token, Gupta said. “We don’t want to just launch any token. Token is generally useful if you want to get the network effects faster. It’s something you try to fix early on. I think we’re doing pretty well already. We are very careful about any new feature or product that we introduce because it is something irreversible. For example, I told the team that if we’re going to do something, we should do it right,” he said, pointing to exchanges like Coinbase and Kraken that don’t have tokens of their own.

CoinDCX recently partnered with crypto-native trade monitoring and market integrity players, such as Solidus Labs and Coinfirm, to strengthen anti-money laundering protection and provide “accurate and holistic” detection and reporting of suspicious activity. These partnerships, the startup says, will improve CoinDCX’s compliance with the recommendations of the Financial Action Task Force (FATF).

One problem with relying on CoinMarketCap and many other popular trackers is that they often rely on partial data that the exchanges provide themselves. According to an industry source, most exchanges do not report accurate numbers to public trackers. Coinbase Ventures is quite active in India and has supported both CoinDCX and CoinSwitch Kuber. FTX Ventures is partnering with a number of Indian startups for possible deals. One such startup is fantasy startup MPL, reported earlier this month. Binance, whose exchange is quite popular in India, has largely avoided investing in Indian startups. However, it has acquired WazirX, another popular Indian crypto exchange.