Fintech Startup Clear Street Bags $270M to Build “Modern Infrastructure” for Capital Markets, Lifts Valuation to $2B

Clear Street, a New York-based independent, non-bank prime broker who claims to be building “modern infrastructure” for capital markets, has announced a $270 million investment from growth equity firm Prysm Capital, which is the second tranche of a $435 million Series B round. The investment values the company at $2 billion.

This is the second investment in the startup’s Series B led by Prysm Capital and follows the first tranche of $165 million in May 2022 at a $1.7 billion valuation, which included additional investors NextGen Venture Partners, IMC Investments, Walleye Capital and Belvedere, among others.

The company’s proprietary clearing and custody system has replaced the legacy infrastructure used across capital markets. Clear Street claims it has seen a 500% increase in institutional clients on its platform over the past year, and a 300% increase in daily transactional volume.

The company makes money by charging fees for transactions and the financing of public market securities.

“Our team has made incredible strides since our inception in 2018, and this additional funding is further testament to the value that we bring to our clients,” said Chris Pento, Co-Founder and Chief Executive Officer at Clear Street. “We founded Clear Street to replace the outdated tech infrastructure being used across capital markets.”