Agio Ratings, a ratings agency specializing in digital assets, has just completed a USD 6 million funding round. This round was led by AlbionVC and has raised the company’s total capital to over USD 11 million.
In addition to AlbionVC, Portage Ventures and MS&AD also participated in this round. The funds will be used to expand Agio Ratings’ research and engineering teams with a focus on enhancing risk assessment capabilities for institutional clients entering the cryptocurrency market.
Founded in 2022, Agio Ratings offers quantitative risk evaluations of exchanges, custodians, and lending platforms, filling an important gap in the digital asset ecosystem for reliable risk data. The company’s models monitor default probabilities and other risk indicators, aiding trading firms, banks, and insurers in making informed decisions and managing exposure. Company officials state that this approach provides insights not always captured by traditional rating agencies as market conditions change.
Expansion and partnerships
In the past, Agio Ratings’ data-driven methodologies have identified emerging risks in the market. According to an official press release, its models predicted a high default probability for FTX four months before it collapsed and assessed that Bybit had sufficient resilience following a USD 1.5 billion security breach.
Earlier this year, Agio Ratings began working with Relm Insurance on a crypto exchange default product. The company is currently in talks with significant banks in the United States and Europe to offer risk evaluation services for trading, lending, and stablecoin activities. Representatives of Agio Ratings say that the recent investment will enable them to grow their team and strengthen their relationships with financial institutions needing independent risk assessments.
AlbionVC representatives underscored the importance of robust institutional-grade risk tools in a maturing digital asset market, pointing to Agio Ratings’ foresight regarding the FTX collapse as proof of its analytical prowess.
