The investment round was led by Musina, which is South Korea’s largest online fashion retailer, and FinTech Dunamu.
The funding will be used to expand into new product categories such as luxury, lifestyle and technology, according to Daecheol Jeong, chief financial officer at Musina subsidiary SLDT, which operates SoldOut. The company is also planning to use the funds to improve its customer experience by upgrading its platform and opening a second inspection center in Seoul this year.
The sneaker resale platform was launched in July 2020. Just two months into its launch, it reached more than 250,000 downloads, becoming one of the top players in the space. One of the key competitors of the platform is Kream, which has so far raised 40 billion won (approximately $32.4 million) from SoftBank Ventures and Atlos Ventures.
The competition to become an industry frontrunner is poised to further heat up in the year ahead as demand for pre-used fashion continues to rise in the South Korean market.