Citadel Securities’ Silicon Valley Funding Hints at Crypto

Citadel Securities LLC’s quest for Silicon Valley investment could be about billionaire Ken Griffin’s firm finally accepting cryptocurrency as much as it is about generating money. Citadel Securities announced a $1.15 billion investment from Sequoia Capital and Paradigm, two venture capital firms with strong interests in crypto, implying Citadel Securities’ prospective entry into the field through organizations that can assist it to gain expertise. In November, San Francisco-based Paradigm announced the launch of a record $2.5 billion venture capital fund aimed at crypto companies and protocols, while co-founder Matt Huang was previously a partner at Sequoia Capital and Fred Ehrsam, another co-founder, assisted in the founding of crypto exchange Coinbase Global Inc. According to a statement released on Tuesday, Huang said Paradigm is looking forward to ‘partnering with the Citadel Securities team as they extend their technology and expertise to even more markets and asset classes, including crypto.’ Sequoia Capital has entered the crypto market as well, funding a slew of firms centered on the ecosystem and underlying technology. According to those familiar with their plans, the cash injection might pave the way for an initial public offering. Jump Trading, Jane Street, and Hudson River Trading, among other Wall Street trading behemoths, have been major participants in crypto trading in recent years, applying their quantitative...