Capitolis Secures $56M from Global Banking Giants Without Revealing Valuation

A New Wave of Confidence in Fintech Capital Optimization

In a move that underscores its growing influence in the financial sector, Israeli fintech powerhouse Capitolis has raised \$56 million from some of the world’s most prominent banks, including Barclays, J.P. Morgan, and BNP Paribas. The funding, executed under a SAFE-like agreement, bypasses a traditional valuation disclosure — a growing trend among high-growth startups navigating volatile markets.

the Original

Capitolis, founded in 2017 by Gil Mandelzis, Tom Glocer, and Igor Teleshevsky, has successfully closed a \$56 million fundraising round from top-tier global banks. Unlike conventional equity raises, this deal follows a SAFE (Simple Agreement for Future Equity) format, meaning no current valuation is assigned; instead, the investment will convert to shares in a later round when the valuation is set.

This is the second consecutive SAFE-based round for Capitolis. In November, the company raised \$20 million in a similar format, led by Citibank with backing from Morgan Stanley, UBS, and State Street. The last traditional equity raise occurred in 2022, valuing the company at \$1.6 billion. Although no official valuation is disclosed now, insiders claim the figure would be higher today.

With this latest injection, Capitolis’ total funding reaches \$350 million, supported by heavyweight venture capital firms such as Index Ventures, Andreessen Horowitz, Sequoia Capital, and Spark Capital. The company collaborates extensively with global banks, many of whom are also clients.

Capitolis’ platform specializes in optimizing capital markets transactions by allowing banks to offset positions across asset classes, reducing regulatory capital requirements and freeing liquidity for expanded trading activity. This approach helps institutions enhance capital efficiency while mitigating operational strain.

CEO Gil Mandelzis — a seasoned fintech entrepreneur who previously sold Traiana for \$250 million — expressed enthusiasm for the continued strategic support from both banking and VC backers. The company employs 160 staff and boasts an annual growth rate of 100%. According to management, the new funding will accelerate expansion and reinforce Capitolis’ momentum in global capital markets.

What Undercode Say:

The Capitolis fundraising is more than just a capital injection; it’s a strategic alignment between fintech innovation and the global banking establishment. By securing backing from industry giants like Barclays, BNP Paribas, and J.P. Morgan — all while sidestepping a public valuation — Capitolis positions itself in a unique category: high-growth, high-trust, but valuation-agnostic.

The SAFE structure is telling. In today’s cautious investment climate, companies that opt for SAFE or convertible note structures often do so to avoid potential devaluation in public perception. In Capitolis’ case, it could also signal confidence in a higher valuation during a future market upswing. Their claim that the current implied value exceeds 2022’s \$1.6 billion suggests both sustained growth and a belief in favorable conditions ahead.

From a business model perspective, Capitolis’ value proposition hits a sweet spot in financial services: helping banks comply with regulatory capital requirements while freeing up funds for profit-generating activities. In a post-Basel III environment, where capital adequacy ratios are under constant scrutiny, such solutions are invaluable. By reducing “trapped” capital, Capitolis enables more trades, more liquidity, and more revenue potential for its clients.

The strategic investor mix is another notable factor. Having both venture capital heavyweights and major banks on the cap table not only provides funding but also expands market access. VC backers push for rapid innovation, while bank investors can serve as both customers and validation partners. This dual-source endorsement enhances Capitolis’ credibility and facilitates adoption across the capital markets ecosystem.

Employment growth at 100% annually is aggressive, and while it signals opportunity, it also raises questions about operational scalability. Maintaining company culture, platform reliability, and client support during such expansion will be key to long-term stability.

Looking forward, the capital optimization space could see increased competition, especially from established trading infrastructure providers who may integrate similar capabilities. However, Capitolis’ early-mover advantage, combined with deep integration into bank systems, could serve as a strong defensive moat.

In short, Capitolis is not just raising money — it’s building a strategic fortress in capital markets fintech. The SAFE route buys them time, the investor lineup gives them reach, and the technology positions them at the center of a critical banking need: capital efficiency.

🔍 Fact Checker Results

✅ Capitolis did raise \$56M from Barclays, J.P. Morgan, and BNP Paribas under a SAFE-like structure.
✅ The last disclosed valuation was \$1.6B in 2022, with insiders claiming it’s now higher.
✅ Total funding stands at \$350M, with backing from major VC firms and global banks.

📊 Prediction

Given the strategic investor roster, product-market fit, and the company’s claim of a higher valuation, Capitolis could exceed \$2.2 billion in valuation within the next 18–24 months — provided market conditions remain favorable and competition doesn’t undercut their advantage. A public listing or acquisition by a major market infrastructure player is a plausible scenario by 2027.