Blockchain Project Factom Raises $1.1 Million in Crowdsale

Factom has closed $1.1m in new funding following the debut of a release client and before an expected beta client rollout.

AccessTimeIconJul 22, 2015 at 4:41 p.m. UTC
Updated Sep 14, 2021 at 2:01 p.m. UTC

Factom has received $1.1m in new funding as part of an equity crowdsale hosted by crowdfunding service BnkToTheFuture.

Billed as a data and record keeping layer for bitcoin, Factom had offered 7.8% equity toward a $700,000 minimum investment goal to be reached by 9:39am GMT today.

The project ultimately exceeded this goal, drawing 323 investors; each providing an average contribution of roughly $3,400.

Factom Foundation chairman David Johnston credited the positive perception of the company as a key factor in the raise, telling CoinDesk:

"The community has been very supportive of Factom Inc and I believe people are encouraged to see recent in roads being made with large enterprise groups using the blockchain."

Factom had raised 2,278 BTC (then roughly $540,000) through the public sale of factoids, the transaction token for the Factom network, earlier this year. Previously, it was bootstrapped through an undisclosed network of private investors.

In March, the Factom Foundation, the community body that overseas development of the Factom protocol, relocated to London. At the time, it credited its permissive attitude toward software sales as a key factor.

Growing interest

The funding comes on the heels of growing interest in the Factom project from state governments and financial institutions.

For example, Factom recently partnered with the government of Honduras on a land title initiative, and serves as an informal consultant to insurance giant USAA.

Alex Marquez, managing director of corporate development at USAA, explained the relationship to CoinDesk, stating: 

"Factom have given us insight and perspective on the technology, which has gone a long way toward informing the team at USAA that’s studying how blockchain might help us better serve our members."

The raise follows the debut of the project's first release candidate this week, a step in the product rollout that precedes its forthcoming beta client.

Image via Factom


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.


CoinDesk - Unknown
First Mover Asia: Remember ICOs? You Would Have Made a Fortune if You HODLed; Bitcoin Slogs Toward $20K

Investors who purchased a breadbasket of blue chip coin offerings about five years ago would have generated an 819% return, even with the current bear market; most cryptos fell in Tuesday trading.

CoinDesk - Unknown
CoinDesk - Unknown
Compass Mining Seen Losing Maine Facility After Failing to Pay Power Bill

The most valuable crypto stories for Tuesday, June 28, 2022.

CoinDesk - Unknown
CoinDesk - Unknown
Crypto Jobs: Who’s Cutting and Hiring?

A running reckoning to layoffs and hirings in the cryptocurrency/blockchain industry.

CoinDesk - Unknown
CoinDesk - Unknown
Governments May Restrict Foreign Access to Their CBDCs, Riksbank Official Says

Not all countries “play nicely” with each other, complicating how central bank digital currencies will interact with other payment systems, said Cecilia Skingsley, first deputy governor at the Swedish central bank.

CoinDesk - Unknown