Cryptocurrency transactions in Indonesia reached $60 billion last year, according to the country’s commodity futures trading agency. Crypto exchange and market Reku is riding the wave with what it says are the lowest fees in the market and a platform that caters to both newcomers and experienced traders. Today, the startup, founded in 2017, announced that it has raised $11 million in Series A funding, led by AC Ventures (ACV) with participation from Coinbase Ventures and Skystar Capital.
This is the first round of institutional funding from Reku (formerly known as Rekeningku.com). The company generated $3 billion in gross transaction value in 2021 and is profitable. Its founders say Reku’s five years in business means they know how to scale and weather market fluctuations, including this year’s pandemic and recession.
Reku, which currently has 80 employees, plans to add 50 more positions with the funding. The platform will also continue to focus on security, compliance, efficiency and scalability, said co-founder and CEO Sumardi Fung. Reku recently appointed Jesse Choi, a former private equity investor at Bain Capital, as COO.
Fung said the company sees “a significant gap in the market for products that actively guide users from the very beginning of their crypto journey until they become experts themselves. Education is one thing , but our vision is to create products that seamlessly guide all users to smart investments.”
Reku makes its platform accessible to novice traders with educational features. It is compliant with the future Indonesian Commodity Trading Agency (BAPPEBTI) and emphasizes user security by only offering well-established cryptocurrencies like Bitcoin and Ethereum.
Prior to founding Reku, Fung worked in the futures industry for 12 years.
“In 2017 and 2018, crypto wasn’t that big, but we saw a huge opportunity there. Internet penetration grew rapidly, and then it would lead to a more resourceful community where people would seek simplicity like a global currency,” Fund told TechCrunch. “The logic behind blockchain has always made sense to me, and we can definitely see a future where people demand a more transparent financial system.”
Choi added that Indonesian traders initially viewed cryptocurrency as a way to make money, but are increasingly interested in other uses of blockchain. “An example of this is NFTs,” he said. “On a relative basis, there is a huge amount of construction activity coming from Indonesia, not just projects but also infrastructure and tools that cater to the global market. And in fact, Indonesia is one of the leading countries when it comes to crypto and Web3 adoption.
In a statement, ACV Founder and Managing Partner Michael Soerijadji said, “We are delighted to lead this investment in Reku. With an intuitive user experience, the lowest fees in the market, and an excellent management team, we are confident that Reku will cement its leadership in Indonesia’s dynamic crypto industry.