PayPal Ventures backs Magic with $52m for web3 revolution


Magic, a Wallet-as-a-Service (WaaS) provider, has successfully secured $52m in a strategic funding round.

This promising FinTech company is leading the way in enabling web3 mass adoption, providing solutions for businesses striving to transition their customers to web3.

The funding round was led by PayPal Ventures and saw contributions from a series of esteemed investors including Cherubic, Synchrony, KX, Northzone, and Volt Capital. This latest influx of capital takes Magic’s total funding to an impressive $80m.

Magic has positioned itself as the go-to WaaS provider for businesses keen on a smooth transition to web3. They offer an enterprise-grade, low-effort solution that paves the way for new lucrative opportunities, ranging from customer loyalty programmes and digital collectibles to employee recognition, ticketing, memberships and more. Magic’s clientele comprises some of the most renowned brands across various sectors like retail, music, fashion and gaming, including names such as Mattel, Macy’s, Xsolla, and Immutable.

Sean Li, Magic’s co-founder and CEO, stated, “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. With this new funding, we’re focused on expanding functionality and enabling growing use cases to continue delivering more value to our customers. We are also looking forward to making a deeper integration within the EU and APAC.”

The newly raised capital will be used for expanding Magic’s functionality and for increasing the company’s presence in the EU and APAC. Furthermore, the company will continue to deliver more value to their customers by enabling an array of web3 use cases.

Commenting on the investment, Alan Du, Partner at PayPal Ventures, said, “Magic’s wallet creation service allows companies to reach millions of users on their apps and onboard customers who are new to web3. We’re proud to be investing in Magic and believe the company will help drive the growing number of web3 use cases amongst global brands.”

Magic provides a secure, seamless and near-instant non-custodial wallet creation. The company’s patented technology allows for unrivalled scalability and offers users complete control over their assets. It is also compliant with multiple regulatory frameworks, including SOC2 Type 2, CCPA, GDPR, HIPAA, and ISO.

To date, Magic has generated more than 20 million unique wallets and its SDK is used by over 130,000 developers. Magic’s industry-leading scalability produces upwards of 2,000 wallets per second, a figure that stands out against the competition’s 80-100 wallets per second.

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