Tangany Recap 2022

Tangany Recap 2022

The crypto market had a rough year, experiencing what some would call a reset, after the continued upwards momentum during 2021. The DeFi industry, in particular, faced numerous challenges, with the collapse of projects like Terra and the FTX-Alameda meltdown causing significant losses for investors. Interest in NFTs also cooled off when instant profit was no longer guaranteed, especially from the retail investor side. The year was also marked by a number of high-profile hacks, once more highlighting the importance of regulation and security in the space. These events have prompted regulators and governments to accelerate their efforts to establish protections and security for investors, with developments such as the European MiCA regulations and the first White House bill for regulating digital assets. Overall, it was a challenging year for the digital asset space, which many are excited to leave behind.

Tangany

As we reflect on the year 2022, it’s clear that it was a year filled with highlights and progress for Tangany, despite the crypto market going through some major troubles and a cooling off period after the explosive growth of the bull market during 2021.

We kicked off the year with a major step forward in building our foundations and accelerating our future growth, with the appointment of Heinrich Polke as our new COO. He brought a wealth of knowledge and experience to our team with over 10 years of experience in scaling and operations at Oliver Wyman. The next building block fell into place when we announced our successful 7 million Euro seed round, led by Nauta Capital and supported by High-tech Gründerfunds and C3 Management, further solidifying our progress and growth.

As we reached the mid-year mark, we said goodbye to our old office in the MTZ, as we had outgrown the space and were ready to take the next step. We moved into a beautiful, double-floored office in the heart of Munich, providing us with the space and resources we needed to support our expanding team.

Our new office also played host to many fantastic team events, from the Tangany Sommerfest to the Vision Workshop and Christmas party in December. Our tech team also saw significant growth and we held our first Developer Days, featuring workshops and discussions to further our development.

Some impressions of the year, from daily office life to workshops and Tangany events

Throughout the year, our sales team was busy representing Tangany at many major blockchain events, not only in Germany but also across Europe. From the Crypto Asset Conference in Frankfurt to the Staking Summit in Lisbon, our presence was felt throughout the industry.

Representing Tangany across Germany and Europe

From a product standpoint, we updated our service from WaaS 1.9 to 1.12, adding EIP-1559 and full Tezos support. We switched our Testnet from Ropsten to Goerli with the successful merge of the Ethereum Network and made many quality of life improvements and fixes.

As the year progressed, we at Tangany were proud to announce some major milestones that solidified our position as a leading player in the digital asset custody space. Our API Suite, which includes our Customers API and Settlement API, received a significant upgrade, providing even more advanced features for our clients to take advantage of.

One of the key updates to our API Suite was the introduction of sophisticated off-chain accounting capabilities through our Settlement API. This allows our clients to easily track and manage their digital assets, providing them with a level of transparency and control that was previously unavailable.

2022 in Numbers

We launched into the year with 39 partners, achieving significant growth by the end of 2022. Having onboarded 56 total active clients, growing by an impressive 43.5% on the year. The majority of this growth came from adding a diverse range of clients, including banks, funds, corporations, and regulated financial service providers to our portfolio.

We continued to maintain a strong presence in the German market, with 78% of our clients based there, and also expanded our reach to include 18.5% of clients based in Europe, and even a small number in Asia. Despite the challenges faced by the broader digital asset market, with many assets losing significant value, our Assets under Custody remained stable, a testament to the reliability and security of our custody solution.

As 2021 finished strong, resulting in another commercially profitable year, we continued the positive trend in 2022, achieving a revenue growth of around 130% on the year, in the single-digit millions range. As we expanded our operations and products, it was only natural that we also added a significant number of members to our team. We scaled from 22 members at the end of 2021 to 48 by the end of December 2022, a growth of 118%. We are proud of the progress we’ve made and are excited to continue our growth and development in the coming year.

The past year proved once again our commitment to providing a reliable and stable service. With no significant technical issues, our system demonstrated its resilience and dependability with an impressive service uptime of 99.8%.

As we look towards 2023, we at Tangany are excited for the opportunities and growth that the year will bring. Our focus remains on continuing to expand and improve our product catalogue, providing our clients with the most comprehensive and innovative solutions in the crypto custodian space.

Outlook 2023

We are confident that 2023 will be another year of healthy and organic growth for our company, as we continue to build on the success we have achieved in the past year. This will be driven by our commitment to providing the highest level of service and security to our clients, as well as our ability to adapt to the ever-evolving digital asset market.

One major development that could be the catalyst to the European market is the upcoming release of the Markets in Crypto-Assets (MiCA) regulation by the European Commission. We believe that this will not only bring much-needed clarity and structure to the digital asset market in the EU but also bring fantastic opportunities with it, such as the possibility to expand further into the EU market.

2022 marked the first release of a crypto security (“Kryptowertpapier”) with Tangany as the registrar and we are excited about the potential for this new asset class to bring more liquidity and accessibility to the digital asset market. We strongly believe that crypto securities will fully replace security tokens sui generis in the future.

Overall, we are eager to take on the challenges and opportunities that 2023 will bring, and we are confident that our team and technology will enable us to continue to provide the highest level of service to our clients.

We wish all our partners, friends and the entire Blockchain ecosystem a great year ahead.