The round valued Deel at $5.5 billion.

Remote and international hiring startup Deel has raised $425 million in a Series D round led by Coatue with participation from Altimeter Capital, Andreessen Horowitz, Spark Capital, and other investors. (CNBC)

With the latest raise, Deel has raised $631 million of capital in total.

Deel offers its payroll services on a subscription basis in over 150 countries worldwide to more than 4,500 customers. The platform processes payroll, computes benefits, and ensures tax compliance, making it easy for its customers to hire employees globally without worrying about local compliance and wage practices.

Remote working is the new mantra

Remote working trends unleashed by the pandemic bolstered Deel’s use case, and revenue jumped 20X year over year as clients, particularly tech companies, raced to find and onboard talent. Many of these companies have relegated in-office working to history.

The demand will likely enable Deel to clock revenue of as much as $50 million this year. It already counts big names such as Coinbase (NASDAQ: COIN), Dropbox (NASDAQ: DBX), and Shopify (NYSE: SHOP).

Deel’s platform enables companies to arbitrage salaries between a high-cost location, such as San Francisco, and previously unthought-of countries such as Brazil, Ukraine, and Nigeria. Cost savings come with the added advantage of access to a much larger and global talent pool.

“During this time period, everyone has understood that you don’t need to hire within a 20-mile square radius as long as you’ve got the right tools,” Deel’s CEO and co-founder, Alex Bouaziz told CNBC. “The mindset has really changed.”

In April, Deel raised $156 million in a Series C round that valued it at $1.25 billion and accorded it a unicorn status.

Related Story: Payroll Company Deel Raises $156M In Series C Funding, Turns Unicorn