Phantom Raises $150 Million in Series C, Valued at $3 Billion

Digital asset wallet provider Phantom has raised $150 million in a Series C funding round led by Sequoia Capital and Paradigm. The funding round valued the company at $3 billion, marking a 150% increase from its $1.2 billion valuation in 2022. Other participants included Andreessen Horowitz and Variant, according to the company’s January 16 announcement.

Expanding Capabilities and Market Share

Phantom plans to use the newly raised capital to enhance its platform. Key upcoming features include a social discovery tool and simplified peer-to-peer payment options. These updates aim to modernize consumer finance while increasing Phantom’s market share in the competitive crypto wallet sector.

CEO Brandon Millman stated, “This latest round of funding allows us to invest further in innovation and ultimately modernize consumer finance.”

Rapid Growth and User Base

Founded in 2021, Phantom has seen rapid adoption, currently boasting 15 million monthly active users and over $20 billion in annual swap volume. In late 2024, it briefly became the second-most popular app in the Apple App Store’s utilities category as the crypto market approached a $4 trillion market cap.

The company claims its revenue and trading volumes in November and December 2024 outpaced competitors Coinbase Wallet and MetaMask combined.

Expanding support and Refuting Claims

Phantom announced its integration with layer-1 blockchain Sui in December 2024, adding to its existing support for Bitcoin, Ethereum, and Solana.

Despite rumors, Phantom clarified on January 3 that it has no plans to launch a token or airdrop tied to its new features.

Positioning as a Consumer Finance Alternative

Millman highlighted the company’s ambition to position crypto wallets as alternatives to traditional finance apps, targeting incumbents like PayPal and Venmo. “We are in the perfect spot to use crypto to supplant traditional players,” he said.

With this latest funding, Phantom aims to strengthen its foothold in the crypto wallet space and drive broader adoption of decentralized finance.