Wallet-as-a-service provider Magic has successfully raised $52 million in a strategic funding round led by PayPal Ventures.
The investment will support Magic's expansion plans within the European Union and Asia-Pacific region, as well as the development of additional use cases. Magic offers non-custodial wallet infrastructure to enterprise clients, enabling them to securely onboard customers into the Web3 ecosystem.
Participants in the funding round inccluded Cherubic, Synchrony, KX, Northzone, and Volt Capital. With this latest funding, Magic's total raised capital now exceeds $80 million. The San Francisco-based company, founded in 2018, provides enterprise-grade solutions that simplify the adoption of Web3 technology for large enterprises in various sectors.
Magic's non-custodial wallet creation infrastructure utilizes a software development kit (SDK), allowing companies to seamlessly integrate wallet creation into their applications. Users can create wallets instantly using existing email, social media accounts, or SMS. To date, Magic has generated over 20 million unique wallets, and its SDK is widely used by more than 130,000 developers. Notable clients of Magic include Mattel, Macy's, Xsolla, and Immutable.
Alan Du, a partner at PayPal Ventures, expressed his confidence in Magic's wallet creation service, highlighting its ability to onboard new users to Web3 and enable global brands to explore diverse use cases within the growing Web3 landscape. Magic's CEO, Sean Li, stated that the company has observed a steady increase in Web3 adoption among large enterprises, with global brands leveraging blockchain technology to engage customers and monetize their experiences in innovative ways.
"Our vision is to ignite new economic opportunities by enabling authentic digital ownership for everyone - starting with building the necessary infrastructure to onboard the next billion users to web3." Li shares.
The strategic funding will allow Magic to further expand its functionality and provide increased value to its customers. The company aims to deepen its integration within the European Union and Asia-Pacific markets. Magic's vision is to enable widespread economic opportunities by creating the necessary infrastructure to onboard billions of users into the Web3 ecosystem.
Magic's solutions are designed to simplify the migration to Web3, providing enterprise-grade, low-effort solutions for various applications such as customer loyalty programs, digital collectibles, employee recognition, ticketing, and memberships. The company's success lies in its commitment to secure and seamless non-custodial wallet creation, offering users complete control over their assets. Magic's scalability and compliance with industry standards differentiate it from other wallet-as-a-service providers.
The partnership between Magic and PayPal Ventures reflects the increasing interest and recognition of the potential of blockchain technology by established companies. While Magic continues to facilitate the onboarding of users into Web3, the funding and expansion plans will position the company to bridge the gap between traditional businesses and the evolving Web3 ecosystem.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
