Bitcoin Trading Platform BTC China Secured $5 Million Series A Funding

BTC China, a Bitcoin trading platform, announced $5 million of Series A financing from investors including LightSpeed. The investment will be used to improve platform security as well as related products and services, according to Bobby Lee, founder of the company.

BTC China has overtaken Mt.Gox and BitStamp to become the largest Bitcoin trading platform in terms of turnover, according to statistics from Bitcoinity.org. The daily turnover of BTC China is nearing 90,000 Bitcoins or more than 200 million yuan.

Ron Cao, chairman of LightSpeed China Partners, said that they invested in the company because they are bullish on the potentials of Bitcoin market and the excellent team of BTC China.

Chinese Bitcoin market has witnessed stunning growth, outrunning the U.S. to become the largest Bitcoin market. China’s daily turnover of Bitcoin reached 100,000, accounting for 50% of the global market share, according to Genesis Block, a digital currency research institute. Okcoin, a similar Chinese Bitcoin platform, announced 100 million yuan of turnover recently.

Bitcoin market heated up recently after the slump in April this year. The conversion price of Bitcoin exceeded 3,000 yuan as of yesterday. Despite the burgeoning market, the risk of investing in the open-source currency still looms due to security concerns and price fluctuations.