#United States #Market Data #Salt Lake City #NEA #Databento

Databento Secures Significant Series B Funding

Databento, a transformative platform designed to revolutionize market data accessibility in modern finance, has announced the successful closure of a $97 million Series B financing round. This significant funding effort was spearheaded by New Enterprise Associates (NEA), with participation from both strategic and existing investors including DRW Venture Capital, Redpoint Ventures, and Tribe Capital. Notably, the round was significantly oversubscribed, receiving in excess of $300 million in total demand.

As co-founder and CEO Christina Qi emphasizes, “Every firm in finance depends on market data, but accessing it has been one of the industry's longest-running bottlenecks.” Traditionally, the procurement and integration of market data have taken months, hindering operational efficiency. Databento was established with the intent of eliminating these hurdles, allowing for on-demand access to institutional-grade market data, thus transforming how financial teams locate and use critical information.

Founded just three years ago, Databento has quickly emerged as one of the fastest-growing players in fintech. Its clients include some of the most demanding financial institutions, with daily trading metrics reaching trillions of dollars. Despite its rapid growth, the company has managed to maintain profitability with a small but efficient team of just 24 employees. In recent months, it has reported over a 6.65x year-over-year revenue increase and has successfully doubled its active API users, boasting a remarkable 97% enterprise logo retention since its inception.

NEA partners Rick Yang and Danielle Lay recognized Databento’s potential early on and have joined the company’s board as part of their investment. Yang described Databento as a rare opportunity, stating, “It’s not often you find a company whose product, market traction, and founding team align so clearly. Databento has established a modern framework needed in the industry for a long time.” The validation from NEA underscores the high expectations surrounding Databento’s future and growth trajectory.

Investment from DRW Venture Capital aligns with the operational requirements of its parent company, which is among the most active proprietary trading firms globally. Kim Trautmann, Partner and Head of DRW VC, highlighted Databento’s robust data infrastructure, which integrates seamlessly into existing workflows, making high-quality data and efficient tools crucial in practice.

The new capital is set to expand Databento’s presence across various asset classes and geographical regions. Currently, Databento colocates its servers directly at exchanges to secure data from the source, further enhancing its offerings. Following this funding round, the company anticipates scaling its infrastructure significantly, with plans to increase its operational footprint to over 20 data centers worldwide and augmenting its storage capacity to over 100 petabytes.

In today's demanding financial landscape, where the quality and speed of data can influence trading strategies, Databento promises to deliver unprecedented access to market data. By consolidating real-time and historical insights across various asset types—including futures, options, and equities—through a single API, the platform is redefining what it means to access financial information. This approach not only enhances performance but also simplifies the developer experience, positioning Databento as a pivotal player in the ongoing evolution of financial technology.

For additional information about Databento and their innovative approach to market data, visit databento.com.

About NEA

New Enterprise Associates, Inc. (NEA) is a preeminent global venture capital firm dedicated to supporting entrepreneurs in building transformative enterprises across various stages, sectors, and regions. Established in 1977, NEA oversees over $28 billion in assets and invests comprehensively in technology and healthcare entities throughout their lifecycles, from inception to IPOs.