Agio raises $4.6 million

Crypto risk analytics startup Agio Ratings has raised $4.6 million in a funding round led by Superscrypt, with participation from Portage, MS&AD Ventures and several angel investors in insurance and asset management.

Launched in May 2022, the London-based startup helps firms with digital asset exposure price risk “intelligently.” Agio says that it analyzes the probability of default for the largest players in digital assets by reviewing over 1,000 variables assembled from on-chain and off-chain data sources. The startup claims that when it comes to predicting defaults, its models perform as well as the leading corporate default risk models in traditional finance, adding that it flagged FTX as one of the riskiest exchanges in July 2022.

“Digital asset investors deserve better, and increasingly capital allocators and regulators expect more. We believe the digital asset industry is massively underserved when it comes to access to reliable risk data. TradFi investors can price risk with help from the large ratings agencies but digital asset investors have no such luck. We are excited to have the support of Superscrypt, Portage, and MS&AD Ventures as we work to become the world’s most trusted source of risk analysis for this ecosystem.” – Ana De Sousa, CEO of Agio Ratings.

“What Agio is building is a critical enabler of greater counterparty transparency and a catalyst for greater institutional participation onchain. Beyond helping investors achieve high, risk-adjusted returns, it’s also about unlocking opportunities in credit creation and insurance underwriting which remain largely untapped in the Web3 space today.” – Jacob Ko, Partner at Superscrypt.

“Crypto institutions are innovators, but their tools for pricing risk are primitive. As an early investor, we believe that Agio Ratings will empower firms that trade and invest in digital assets to make more informed decisions with their capital.” – Stephanie Choo, Partner at Portage.