Hata.io, a Malaysia-based digital asset brokerage and exchange in the Asia Pacific region, has raised $4.2 million in a seed funding round aimed at fueling its expansion.
The newly secured capital will be used to develop new products and accelerate user acquisition across the Asia region, as Hata seeks to strengthen its foothold in the competitive digital asset space, according to an announcement.
Regulated by both the Securities Commission Malaysia and the Labuan Financial Services Authority, Hata holds the distinction of being the only dual-licensed digital asset exchange in Malaysia.
This allows it to serve both domestic and international investors in the rapidly growing digital asset market. In Malaysia alone, the market boasts over 840,000 digital asset investors and reports an annual trading volume of more than RM21 billion on local exchanges.
Hata’s leadership team includes experienced professionals in digital asset exchange operations and compliance.
The company’s CEO, David Low, is a qualified lawyer and the former General Manager of Luno’s Asia Pacific operations.
Chief Technology Officer KK Chong, a cofounder of a blockchain solutions company, brings academic and technical expertise, while Chief Revenue Officer Darien Ng adds more than 15 years of experience in the technology industry.
The seed funding round was led by prominent US-based institutional investors Castle Island Ventures and Cadenza Ventures.
Castle Island Ventures, founded by former Fidelity executives, has a strong track record of investing in digital asset and blockchain infrastructure businesses.
Its portfolio includes Yellowcard, BlockFi, and Pintu, Indonesia’s third-largest digital asset exchange.
Meanwhile, Cadenza Ventures focuses on early-stage investments in blockchain and fintech startups, with previous investments in exchanges such as CoinDCX in India, VALR in South Africa, and Rain in the Middle East.
Hata’s platform aims to serve retail and institutional investors who prefer trading in fiat currencies like the Malaysian Ringgit (MYR) and US Dollar (USD).
The company seeks to bridge the gap between traditional finance and digital assets, offering users a seamless experience in buying, selling, and accessing digital assets.
This funding follows a previous MYR 3 million pre-seed round from angel investors, including 1337 Ventures and Raja Hamzah.