Key Takeaways
- • Gauntlet raised $125 million in Series C funding led by sole investor SBI Holdings, closing in June 2026—the largest capital raise in the company's history since its 2018 founding and more than five times larger than its 2022 Series B ($24 million at $1 billion valuation).
- • The round ranks in the 95th percentile for all-time Series C fundraising among U.S. big data companies, exceeding approximately 95% of 713 comparable deals, signaling substantial institutional confidence in the DeFi risk management sector.
- • SBI Holdings, a $10 billion+ Tokyo Stock Exchange-listed financial conglomerate spun off from SoftBank in 1999, plans to expand operational and investment activities in the U.S. crypto market, citing regulatory clarity and a pro-innovation environment as key drivers.
- • Gauntlet has transitioned from protocol analytics and security testing into "vault curation"—evaluating yield-bearing digital asset strategies analogous to mutual funds—positioning itself at the intersection of institutional DeFi and traditional finance infrastructure.
- • The deal reflects broader institutional capital flows into crypto assets despite subdued token prices, with SBI simultaneously holding stakes in established players including Morpho (crypto lending), Ripple (blockchain), and Circle (stablecoins).
Summary
Gauntlet, a New York-based DeFi infrastructure firm, secured $125 million in Series C funding led exclusively by SBI Holdings, with the round closing in June 2026. According to founder and CEO Tarun Chitra, the capital raise represents the company's largest to date and substantially exceeds its prior fundraising milestones. The 2022 Series B generated approximately $24 million at a $1 billion valuation through Ribbit Capital, establishing the trajectory of this latest round's significance. Notably, Chitra declined to disclose the post-money valuation for the Series C, a common practice in institutional funding rounds.
From a market perspective, the $125 million Series C ranks in the 95th percentile among all-time Series C fundraising rounds for U.S. big data companies, surpassing roughly 95% of 713 comparable transactions. This positioning underscores institutional appetite for data-driven risk management infrastructure in digital asset markets, particularly as firms mature beyond earlier-stage venture capital participation.
SBI Holdings, valued at over $10 billion on the Tokyo Stock Exchange, brings substantial institutional credibility to the investment. The Japanese financial conglomerate, spun off from SoftBank in 1999, has established itself as one of the most active institutional investors in the crypto sector globally. Its current digital asset portfolio includes stakes in Morpho (a crypto lending protocol), Ripple (blockchain infrastructure), and Circle (stablecoin issuer). Kefei Lin, general manager at SBI, attributed the investment timing to anticipated regulatory clarity in the U.S. market and what he characterized as a "pro-crypto, pro-innovation, pro-competition environment," signaling intent to expand both investment and operational activities in North America.
Gauntlet's strategic evolution from protocol analytics to vault curation reflects shifting market demands. The company was founded in 2018 as a security-focused firm stress-testing DeFi protocols for exploits. It has since repositioned toward institutional asset allocation, evaluating yield-bearing strategies that function similarly to traditional mutual funds. Investors deposit digital assets into these vaults in exchange for yield-bearing opportunities, while Gauntlet's platform assesses the underlying protocol risks. The capital from SBI will support infrastructure expansion into emerging markets, specifically yen and peso stablecoins, broadening the firm's institutional DeFi reach beyond U.S. dollar-denominated strategies.
The timing of this raise coincides with a broader influx of traditional finance capital into crypto markets, despite ongoing volatility in token valuations. SBI's investment signals institutional conviction that digital asset infrastructure and risk management represent strategic investment priorities in 2026.
From a market perspective, the $125 million Series C ranks in the 95th percentile among all-time Series C fundraising rounds for U.S. big data companies, surpassing roughly 95% of 713 comparable transactions. This positioning underscores institutional appetite for data-driven risk management infrastructure in digital asset markets, particularly as firms mature beyond earlier-stage venture capital participation.
SBI Holdings, valued at over $10 billion on the Tokyo Stock Exchange, brings substantial institutional credibility to the investment. The Japanese financial conglomerate, spun off from SoftBank in 1999, has established itself as one of the most active institutional investors in the crypto sector globally. Its current digital asset portfolio includes stakes in Morpho (a crypto lending protocol), Ripple (blockchain infrastructure), and Circle (stablecoin issuer). Kefei Lin, general manager at SBI, attributed the investment timing to anticipated regulatory clarity in the U.S. market and what he characterized as a "pro-crypto, pro-innovation, pro-competition environment," signaling intent to expand both investment and operational activities in North America.
Gauntlet's strategic evolution from protocol analytics to vault curation reflects shifting market demands. The company was founded in 2018 as a security-focused firm stress-testing DeFi protocols for exploits. It has since repositioned toward institutional asset allocation, evaluating yield-bearing strategies that function similarly to traditional mutual funds. Investors deposit digital assets into these vaults in exchange for yield-bearing opportunities, while Gauntlet's platform assesses the underlying protocol risks. The capital from SBI will support infrastructure expansion into emerging markets, specifically yen and peso stablecoins, broadening the firm's institutional DeFi reach beyond U.S. dollar-denominated strategies.
The timing of this raise coincides with a broader influx of traditional finance capital into crypto markets, despite ongoing volatility in token valuations. SBI's investment signals institutional conviction that digital asset infrastructure and risk management represent strategic investment priorities in 2026.
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