Non-custodial crypto investing app Ember Fund raises $5.3 million in seed funding

Non-custodial crypto investing app provider Ember Fund has raised $5.3 million in a seed funding round.

Sharing the news exclusively with The Block on Wednesday, Ember said the round was led by Richard Jun of Bam Ventures, with participation from Anthos Capital, Uncorrelated Ventures, Calm Ventures, and others.

With fresh capital at hand, Ember plans to invest "heavily" into its infrastructure and "aggressively grow" its assets under management (AUM), co-founder and CEO Alex Wang told The Block.

"We're aiming to hit $1 billion in AUM by the next year," said Wang. He declined to comment on Ember's current AUM.

Launched in 2019, the Ember app allows users to invest "like a cryptocurrency hedge fund" via curated funds managed by professionals. That means users choose a fund, and Ember periodically rebalances the fund like a hedge fund.

Ember serves both retail and institutional investors. "We are fast approaching a six-figure mark in the number of users," Wang told The Block, adding that the U.S., Canada, Australia, the U.K., and Europe are Ember's top five markets. Ember hit profitability in November 2020, Wang added.

There are currently 14 people working for Ember, and the firm is now looking to hire smart contract engineers, customer support staff, a research analyst, and a CIO/CFO, said Wang.

"We're also launching a Securities and Exchange Commission (SEC)-registered token offering in a few months, through another Regulation Crowdfunding," said Wang. Last year, Ember raised $700,000 through an SEC-registered crowdfunding sale.

Update: This story has been updated with a revised AUM quote from Alex Wang.