How Trading and Investing Startup Rally Works and Ongoing Success
Trading startup Rally works as a platform for buying and selling shares much like traditional services provided by Robinhood or a major financial institution. However, instead of trading shares of a public company or a cryptocurrency, Rally offers shares of collectible trading items. Users of the app, available on Android and iOS, can purchase shares of high-end memorabilia, natural historical artifacts, and collectible cars, among many other items.
Rally makes this system work by acquiring notable items of collectible value and then turning it into a company of sorts through regulatory measures. From there, users on the startup platform can participate in an initial offering, purchasing shares of the company to add to their portfolio. From there, the process is similar to more traditional trading methods, with users buying or selling shares from different items depending on fluctuations in price or perceived value.
The business has seen a major spike in popularity recently, with the number of retail investors booming over the last few years. In fact, the trading startup has more than doubled the number of assets that it manages over the last year alone. This, of course, has attracted more users as well, with the number of investors using the collectible platform increasing by a whopping 575% over the same period of time.
Outside of the trading platform, the business also owns and operates 10 in-person locations, including its flagship museum that displays several of the acquired items in New York.
Rally Funding and Future Plans
In the Series B funding round for the business, Rally raised $30 million in capital. The funding round was led by Accel with participation from Upfront Ventures and Social Leverage. In addition to this funding, the trading startup also received $50 million in debt facility from Upper90 Capital for item acquisition.
The trading and investing startup will use this new funding and debt facility to acquire several more collectible items along with art, NFTs, and real estate. Additionally, Rally plans to expand business operations further by investing in new technology, product development, and its own regulatory and compliance model.
When commenting on the future business plans for the trading and investing startup, Rally CEO George Leimer said, “Our biggest focus is entering new asset classes. We’ve taken the conscious strategy that if we grow the number and diversity of the assets on our platform, the users will come. The collectibles space, regardless of business model, is gigantic and has a lot of heat and light on it right now. As long as the asset is interesting and rare, people will have a passion for it.”
About the Author
Tom Price is a writer focusing on entertainment and sports features. He has a degree from NYU in English with a minor in Creative Writing. He has been previously published for Washington Square News, Dignitas, CBR, and Numbers on the Boards.