Makara

High-Level Overview

Makara is a technology company that built an intuitive mobile app and platform for cryptocurrency investing, offering "thematic baskets" of diversified crypto assets to make digital investments accessible to everyday users.[1][3] Founded as a spinout from Strix Leviathan, it targeted the problem of opaque and risky crypto trading by providing SEC-registered advisory services focused on education, transparency, and thematic exposure, serving retail investors excluded from high-net-worth platforms.[1][3] Betterment, a leader in digital investing, acquired Makara to integrate crypto solutions for its 730,000+ customers, accelerating its growth momentum post-launch.[1]

Origin Story

Makara emerged in 2021 from Strix Leviathan, a comprehensive software suite for trading volatile crypto markets co-founded by CEO Jesse Proudman and his team, which initially served only high-net-worth investors.[1][3] Dissatisfied with excluding the broader public from diversified crypto opportunities, Proudman and team pivoted over seven months to create Makara as a digitally native platform resembling crypto mutual funds, becoming one of the first SEC-registered investment advisors in the space.[1][3] Partnering with design studio Z1, they refined the app's user interface for education and trust amid the shady crypto context of the time, leading to a successful launch and subsequent acquisition by Betterment.[1]

Core Differentiators

• User-Friendly Crypto Access: Unlike complex exchanges, Makara simplifies investing via intuitive "thematic baskets" for goals like diversification or specific exposures, with an educational UI that builds confidence for beginners.[1][3]
• Regulatory Compliance and Trust: As an early SEC-registered advisor, it emphasized transparency and security, countering 2021's crypto fears with guided, trustworthy experiences.[1]
• Seamless Developer and Design Integration: Collaborated with Z1 for natural flow and engagement, evolving from Strix Leviathan's institutional tech to retail scale.[1]

(Note: A separate entity, Makara Digital Corporation, operates as a private equity firm investing in cryptocurrency and information sectors, but lacks detailed public differentiation.[2])

Role in the Broader Tech Landscape

Makara rode the 2021 crypto boom by democratizing access amid rising retail interest, timing its launch when traditional investors sought regulated alternatives to volatile exchanges.[1][3] Market forces like increasing crypto adoption and demand for diversification favored its model, influencing the ecosystem by paving the way for incumbents like Betterment to enter crypto via acquisition, blending robo-advisors with digital assets.[1] This bridged institutional tools (from Strix) to mass markets, accelerating fintech's convergence with blockchain.

Quick Take & Future Outlook

Post-acquisition, Makara's tech now powers Betterment's crypto offerings, positioning it to scale with mainstream adoption as regulations mature and thematic investing evolves.[1] Trends like ETF approvals and AI-driven portfolios will shape its path, potentially expanding beyond crypto into broader digital assets. Its influence may grow by setting standards for accessible, compliant investing, fulfilling the original vision of inclusive crypto participation started with Jesse Proudman's spinout.