Alchemy is on a mission to make it easier for developers
to build on top of block chains and become the Web.
Three developer platform of choice.
It's just raised $200 million 250 million and funding just four months ago.
Well, joining me now is Nikkila Vishwa Nath on
Bethune, excuse me, co founder and ceo of alchemy.
Thank you so much for coming on Nikki Well,
why do you think your company is seeing such rapid growth?
What's behind it?
Thanks for having me on.
It's been a really,
really exciting year for crypto and the
last three months have been nothing different.
We've tripled the business over the last three months and with the rise of N. F. T.
S and the crypto ecosystem taking off, we're seeing a massive surge across the board
Now when it comes to your funding in particular, I know you've raised $200 million,
that's a lot of cash.
How are you looking to grow with that new money?
We're going to be investing very heavily into global expansion.
We've already started hiring internationally and we've
opened a new york office recently.
What we're seeing is crypto is a global phenomenon.
It's not just in one area of the world and we're
expanding our workforce necessary to make sure we support that.
I know you've got partnerships with companies like Dapper labs and open,
see how specifically is your company helping power those firms.
The way to think about what alchemy does
is we're a developer platform that powers applications.
So when you look at similar industries like the computer or the internet,
there's always a platform that powers it for the computer
that's Windows and Mac operating system and for the internet.
That's AWS which is actually two thirds of amazon's profits.
So we do a similar function enabling apps in crypto to serve their users.
So how would you say Nikkila,
your company does stack up against an amazon web services.
What's the difference?
It's a completely different technology.
We have some of the best and brightest people from stanford. M. I. T.
Have scaled infrastructure at google facebook and
Microsoft and it's just a very very different
type of technology that you need to build
and it's complementary not antagonistic to AWS.
Of course there are all sorts of concerns about harmful environmental effects
when it comes to crypto mining and crypto transactions simply in general.
How is your company
making efforts to have a more sustainable environment in the crypto world?
Well,
first off the environmental concerns around our around mining and we
don't do any kind of mining where a developer platform secondarily,
what we do is help provide the newest and latest technologies to applications.
One of those technologies being this new proof
of state technology that eliminates the environmental concerns.
I know your company valued at more than $10 billion.
You've raised a lot of money as we were talking about their $200 million dollars
to be exact what's in the future. Nick Ile is is it an I. P. 01 day,
what we've seen over the last year is we've
been one of the fastest growing companies in history
in 2021. Of course an I. P. O. In sometime in the future is exciting.
But right now our whole focus is how do we provide
the best experienced developers and bring web three to the world?
Alright. Nicky.
Well in terms of the price of Bitcoin, is that impacting your business at all?
We see a lot of volatility of course out there these days
and not just with Bitcoin but with the other cryptocurrencies as well.
One of the really nice things about being a developer
platform versus an exchange which is heavily based on revenue from
cryptocurrencies is our revenue has been monotone tickly increasing every single
month over the last year because we're a developer business.
That's a sas business
of course.
Um We do see some companies, they will hold Cryptocurrency on their balance sheet.
Is that something that your company is doing?
We do accept a small amount of payments in Cryptocurrency but in
general we don't hold large amounts Cryptocurrency on the balance sheet.
What is a small amount
um
like less than a couple of percent of our total net assets.
Small portion there are you out there looking to raise money right now of
course we see a lot of money changing hands in the VC world.
But as rates are expected to rise,
some are concerned that some of that money could dry up.
What's the current status of fundraising for your company?
So we're in a really interesting position.
We've raised about $550 million 48 people and extremely profitable.
So every round we've done has been inbound
investors coming in and it's because we want these
really great partners to help us scale the business is the reason we did the rounds.
So
Of course, maybe in the future there'll be great partners we want to bring in,
but for now we're in a good spot.
Okay. Major goals for 2022. What's on the horizon?
One of the most exciting things this year is
we're seeing a huge number of traditional Fortune 500
companies come into the space and integrate Web three and N F T S into their products.
There's a stark contrast from 2018 when we sell a lot of interest,
but it was more in the research team front,
you'd have a small team of a couple of people building a product
And trying it out at large banks or five Fortune 500 companies.
Now we're seeing companies like Adobe who we partnered with release N.
F T S 260 million of their users in b hands. And that's very exciting.
We expect to see that continue this year.
All right, Nick Ile Vishwanathan, a co founder and Ceo of Alchemy.
We appreciate you taking the time and comment on the show. Congratulations.