Rally Raises $30 Million as Startup Develops Collectible Trading Platform

By Thomas Price Monday, May 17, 2021

As retail stock and cryptocurrency trading becomes more popular among young investors, many people have been looking for ways to further diversify their portfolios. This now means for many people moving away from traditional investing options such as company shares. Trading startup Rally is providing a new method for investors as the company continues to expand its collectible trading platform. The company recently closed its Series B funding round which will help Rally to further improve its platform, bring in new items for investing, and scale up business operations for the increase in users.

Vintage model Mustang.

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

Headshot of Thomas Price

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.

Related Articles