Hyperchain Blockchain Creator Qulian Completes $234 Million Funding Round
Qulian complete's funding
China-based Blockchain platform developer Qulian Technology has completed its 234 million series B funding round. This investment is one of the largest traditional funding in the Blockchain space to date even though Robinhood’s 363 million dollar funding is still ahead.
The announcement comes just one week after their leading investor Xinhu Zhongbao, a leading Shanghai real estate, and finance firm disclosed their plans to invest in the project in a filling they did with Shanghai stock Exchange which happened on 27th May.
According to the filed document Xinhu Zhongbao wants to invest 192 million dollars in Qulian through a combination of a 17 million dollar capital contribution transfer which will be followed 175 million dollar equity assurance. The deal will see Xinhu hold 49 percent of Qulian’s shares.
Qulian was founded in 2016 and word to develop enterprise-grade solutions which rely on its hyperchain blockchain platform. After the disclosure by Xinhu Zhongbao, Qulian recorded a revenue of 281,000 dollars with a net loss of 2.34 million dollars in 2017 when it was valued at 234 million dollars. This is the second time Xinhu has publicly expressed support for blockchain developer since it purchased some shares in April 2018 during a time when Xinhu valued the company at 78 million dollars.
Qulian has increased in value by three three-fold in three months something which has drawn concerns from Chinese financial regulators. According to a letter published in May, Shanghai Stock Exchange required Xinhu to justify the rapid change in the firm’s valuation valuation.
Xinhu replied to the Shanghai Stock Exchange stating that: “This valuation made by the company and other co-investors is based on a comprehensive evaluation of the Blockchain developer. However, there could be a risk of mismatch in Qulian’s income and valuation.”
Our efforts to talk to the management of Qulian were futile during press time. The company is however said to be working on several other blockchain projects.