Lolli, a bitcoin and cashback rewards application, has secured an $8 million Series B round, as exclusively reported by TechCrunch.
The CEO and co-founder of the company, Alex Adelman, revealed that the newly acquired capital will be earmarked for the expansion of Lolli’s rewards program to enterprise partners. This includes exchanges, neobanks, banks, payment companies, and browsers.
With this Series B round, Lolli has raised a total of $28 million thus far. Adelman adds, “We have always been mindful to raise only the amount necessary for our success. We are efficient in our operations and remain focused on demonstrating our viable business model.”
The BITKRAFT Ventures led the Series B round, with contributions from Sfermion, Ulta Beauty’s Prisma Ventures, Hypersphere Ventures, ZebPay’s CEO Rahul Pagidipati, 2 Punks Capital, MZ Web3 Fund, and others. Existing investors, including Seven Seven Six, Founders Fund’s Pathfinder Ventures, Bain Capital Ventures, Serena Williams’ Serena Ventures, Logan Paul, and MrBeast’s Night Media, also joined in on the round.
Since its launch in 2018, Lolli has experienced significant growth and has established partnerships with over 25,000 stores. The app’s unique rewards program offers bitcoin or cashback to users for shopping online or in-person at restaurants and stores. As Adelman puts it, “Lolli’s future plans include expanding to over 100,000 stores by 2025.”
The app offers up to 30% back on purchases, with an average of 7% back in bitcoin or cashback rewards. According to Adelman, Lolli has already rewarded its users with over $10 million in bitcoin, in addition to cashback.
Last year, the company introduced Card Boosts, which enables users to add bitcoin rewards to their debit or credit cards while shopping. Adelman describes this product as a “significant growth-driver” that helped users earn over five times the rewards on daily purchases like coffee, gas, or groceries. He also adds that active shoppers on Lolli have increased by 35% year-over-year since October 2023.
“Many of our users are savvy enough to take advantage of ‘earning the dip’ and have already seen the rewards of earning bitcoin through Lolli when the market is down,” Adelman shares.
This means that users who earned rewards when bitcoin was valued at $20,000 or lower in the beginning of 2023 have since seen their rewards double, with bitcoin now valued at over $40,000. He also notes how the earliest Lolli users, who earned bitcoin when it was priced at $3,000, have seen their rewards increase in value by over 10 times today.
As the market anticipates a major breakout with bitcoin rising over 12% this month, Lolli is preparing by developing new ways for users to earn rewards. Adelman reveals that the company’s strategy is to capitalize on the market momentum to “generate more revenue for our partners and attract more major companies to offer bitcoin rewards.” In 2024, Lolli plans to launch new products, form significant partnerships, and increase financial education among its users.
“We are rapidly growing and are already gearing up to roll out new features and partnerships with merchants that our users will absolutely love,” says Adelman. “With the increasing adoption of cryptocurrency, we are committed to being the go-to platform for our users to earn money throughout the day, every day, while also learning about and earning bitcoin.”
