Coub has raised a capital of US$1 million from local venture capitalists Phenomen Ventures and Brothers Ventures. Coub is a Russian startup company that developed a program that lets users generate short looped or Gif-like music videos.The program is hosted online on their website.

Their website allows end users to upload videos from their computers, cut them to anywhere up to 10 seconds, and loop them with music. The website also allows users to extract videos from online hosts such as Vimeo or YouTube.

Coub currently boasts 8 million different visitors, an increase from 5 million last month. Although, most of those who visit the website are from Russia.

The new capital raised will be applied to further build the team out of its online presence and for the company to reach new audiences outside Russia. A portion of the capital will also be spent in the development of Coub for mobile phones. The expansion plan includes opening a U.S. office.

"We discovered this media format and now we are observing its evolution. It already has traditions, own memes, genres and sub-formats. We made a tool that you can use in different ways. It could be an artistic tool, a way of self-expression and getting attraction. On the other hand, coubs also have a professional usage, for example, as an illustration in media, or as an animated photo on an online store,"  Anton Gladkoborodov, co-founder of Coub, said in an interview with media.