1Password, a management platform for passwords, has closed a $620 million Series C funding round.
The massive funding led by Iconiq Growth brings the firm’s valuation to $6.8 billion. Other investors included Tiger Global, Lightspeed Venture Partners, Backbone Angels, Accel, and even celebrities Ryan Reynolds, Justin Timberlake, and Robert Downey Jr.
The new funding will be used towards growing its engineering and customer support teams, expanding its Events and API functionality, and conducting more acquisitions.
1Password has seen significant growth over the last few years, including its customer base growing from 90,000 to over 100,000 since its Series B funding round from July of last year. It also expanded its workforce and added large corporations such as Intercom.
According to the company, this growth is being driven by three factors: expansion of remote and hybrid work policies, increased adoption of cloud-based applications, and heightened levels of workplace burnout.
The company says that workers experiencing burnout may lead to increased cybersecurity threats.
“We’ve found that when you have stress and burnout, two things happen,” said Jeff Shiner, CEO of 1Password. “Firstly, people look for the easy way — when you’re overworked, you’re going to put security on the back-burner. The other side effect of stress and burnout has been a desire to change, and you see that in the Great Resignation. That leads to security issues because all those apps and services that IT are not aware of you’re now taking with you.”