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1inch Network Raises $175M in Private Token Sale, Building DeFi Products for Institutional Investors

1inch Network, a renowned decentralized exchange aggregator, announced it had successfully completed its Series B funding round where it raised the sum of $175 million.

This particular funding round did not follow the conventional approach as it involved the protocol’s private token sale. As unveiled by the firm, Series B was led by Amber Group. Among about 50 investors that participated in the funding was Jane Street, VanEck, Fenbushi Capital, Alameda Research, Celsius, Nexo, Tribe Capital, and Gemini Frontier Fund.

1inch said it will use the new capital to advance its protocol in relation to providing a new product suite for institutional users looking to make their way into the DeFi ecosystem.

“While continuing to keep the existing DeFi audience happy by delivering state-of-the-art products, 1inch also aims to become a gateway for institutions that want to be part of the DeFi space,” says Sergej Kunz, co-founder of the 1inch Network.

1inch said it will develop a new product suite dubbed 1inch Pro, which will cater specifically to the corporate players. The service will be AML and KYC compliance and will be able to draw users from the United States of America.

“The next $1 trillion of assets entering DeFi will come from institutions rather than retail users, and 1inch would like to facilitate entry for them,” Sergej adds. “We have already started work in that direction by attracting some key players from the traditional finance markets, and this collaboration will only accelerate over the next few years.”

As a liquidity and price aggregation provider, 1inch’s role in the DeFi industry is pivotal to potential inbound growth. With more established industry players now serving as partners for the startup, it can work with more focused targets as it can draw on all the expertise it needs as it looks to scale up its offerings.

Image source: Blockchain.news

Software Provider Lukka Raises $110M in Series E at $1.3B Valuation

Lukka, an enterprise crypto-asset software, and data provider has completed its Series E fundraise, pulling $110 million from investors to raise its valuation to $1.3 billion.

According to the press release shared by the startup, participants in the funding round include Marshall Wace, Miami International Holdings, Inc., Summer Capital, and SiriusPoint Ltd., as well as participation from previous investors Soros Fund Management, Liberty City Ventures, S&P Global, and CPA.com.

Lukka is a data and solutions developer and currently prides itself as the “only institutional-grade crypto asset data and software provider that satisfies rigorous technical control standards, such as AICPA SOC 1 Type II and SOC 2 Type II Service Organization Controls, for its data and software products.”

“With the crypto-asset ecosystem entering a new phase of maturity, the need for Lukka’s institutional quality data and software solutions has never been more relevant,” said Robert Materazzi, CEO of Lukka. “We take pride in solving the most complex data challenges for our customers and now partnered with the world-class investors who participated in this round, we look forward to tackling all of the challenges that result from the incredible innovation that continues across the disruptive crypto industry.”

The New York-based startup has raised its client base in the past year, and now services State Street, S&P Dow Jones Indices, and RSM, all of whom rely on its data services “to manage crypto asset data, transactions, and downstream services.” Lukka hopes to use the latest liquidity injection to accelerate its aggressive growth and global expansion strategy.

The cryptocurrency industry saw a very milestone jump in 2021 as it relates to venture capital funding with more than $25 billion raised in total. This year has opened up with even more impressive figures.

Previously, Blockchain.News reported a $300 million funding round that pushed its valuation up to $13.3 billion in just about 4 years of operation. With the traction the ecosystem has garnered thus far, one might expect a new funding record to be achieved this year.

nCore Games Raises $10M in Funding, Ready for New Web3.0 Offerings

An Indian gaming startup, nCore Games, has raised $5.5 million in new funding round as it prepares to integrate Web3.0 and metaverse related offerings in an attempt to upturn its revenue strategies.

According to a TechCrunch report, the funding round was led by Animoca Brands and Galaxy Interactive, with participation from Polygon, a popular layer 2 Ethereum scaling solution, and Hyperedge Capital.

A number of Angel Investors also invested in the company that has gained traction in the gaming ecosystem through its exclusive titles. Per the report, nCore Games is home to a number of gaming studios, including Studio nCore, Dot9 Games, and IceSpice. Its portfolio includes multiplayer action-title Fau-G and Pro Cricket Mobile that have garnered tens of millions of downloads.

While the Indian market is promising for games, revenue is generally at a low ebb due to the underdeveloped integration of in-app purchases. Based on this, nCore is committed to redesigning its model to accommodate more Web3.0 related offerings, including the launch of its in-game tokens and a Non-Fungible Token (NFT) feature shortly confirmed by Vishal Gondal, co-founder of nCore Games.

The proposed NFT and token offerings will complement the startup’s plans to launch and invest in more games this year, a move that will now be made possible through the new funding. The startup hopes to recreate the successes of Axie Infinity which has grown in popularity in regions such as Indonesia and the Philippines with poor in-app purchase revenue generation models like India.

Just like most blockchain-affiliated startups that have gained massive valuations through venture capital funding in recent times, the positioning of nCore games and its addressable markets remains one of its biggest selling points to investors.

“nCORE Games was started by experienced gaming industry professionals with strong pedigrees. This is one of our most promising investments in India, which has a large gaming market with massive growth potential,” said Yat Siu, the executive chairman and co-founder of Animoca Brands, in a statement.

Animoca Brands Receives $358M Boost, the Gaming Firm Goes on Acquisition Rampage

Money flow from investors into blockchain-based companies is undoubtedly a trend we would not see its end this year, as one of the most prominent gaming firms, Animoca Brands, has raised $358.88 million from investors led by Liberty City Ventures.

With the firm now valued at $5 billion, the startup has notably doubled its value from October when it was worth $2.2 billion atop a $65 million funding. Participants in this latest funding round include 10T Holdings, C Ventures, Delta Fund, Gemini Frontier Fund, Gobi Partners Greater Bay Area, Kingsway and other companies.

Animoca Brands is more than a gaming studio; it is also a venture capital firm with a diverse portfolio in various gaming protocols and blockchain-focused startups as a whole. While some of its product brands range from The Sandbox to the upcoming Phantom Galaxies AAA, it has sizable stakes in such platforms as OpenSea, Axie Infinity, and Thetan Arena.

While banking on the new funding, Animoca Brands says it will continue to partner with and fund strategic acquisitions and investments, product development, and licenses for popular intellectual properties.

“We have set ourselves the ambitious goals of building an open Web3 and facilitating an open metaverse that expands financial inclusion. In 2021 we saw tremendous growth in this space, and Animoca Brands has been one of the forefront leaders in the development of this industry,” said Yat Siu, co-founder and executive chairman of Animoca Brands.

With Animoca Brands’ latest funding, the journey to surmount last year’s venture capital funding in the crypto ecosystem has gotten one more major boost.

Polkadot Auction Winner Astar Network Secures $22M in Venture Capital Funding

Astar Network, a Polkadot parachain auction winner has secured the sum of $22 million from venture capital as well as angel investors.

As unveiled by the blockchain protocol, the fundraise drew participation from Polychain, Alameda Research, Alchemy Ventures, Animal Ventures, Crypto.com Capital, Digital Finance Group, GSR, ROK Capital, Scytale Ventures, Vessel, Injective Protocol, and angel investors including Dr. Gavin Wood, Richard Ma, Keisuke Honda, and some executives from Web3 Foundation and Parity Technologies.

While venture funding is growing at a very fast pace, Astar Network is a protocol that was deserving of consideration from investors based on the innovative solution it is heralding. Built as a protocol to take network interoperability to a whole new level, Astar Network became the third protocol to win a Polkadot parachain auction, a development that showcases how well it has a community that believes in its push. Astar Network is also building a framework whereby Web3.0 developers can be incentivized adequately for their work.

“Astar is making a highly competitive bid for new developers to the Polkadot space, and we’re excited to be partnering with them. The project’s focus on including additional WASM-compiling languages in their EVM’s compatibility should help attract development in many more programming languages, and their dApp staking platform represents an innovative new approach to bootstrapping and funding an emergent ecosystem,” Ben Perszyk, Partner at Polychain Capital.

With the new funding, the startup now has the financial backing to continue in its development of a multichain solution. As detailed by the startup, it is working relentlessly to be a multichain smart contract hub by connecting multiple L1 chains and supporting multiple smart contract virtual machines. Currently, 2 Ethereum bridges are live and 1 Cosmos bridge is under heavy development. In its ambitious timeline, the startup hopes to connect all major chains by Q4 this year.

Image source: Shuttstock

FTX Exchange Tops $32B Valuation with a $400M Series-C Venture Funding

FTX Derivatives Exchange has concluded its Series C funding round where it raised the sum of $400 million to increase its valuation to $32 billion.

Investors who participated in the funding round as announced by the trading platform include but are not limited to Temasek, Paradigm, Ontario Teachers’ Pension Plan Board, NEA, IVP, SoftBank Vision Fund 2, Lightspeed Venture Partners, Steadview Capital, Tiger Global, and Insight Partners.

FTX revealed that the majority of the investors it welcomed in this funding round also backed FTX.US, it’s subsidiary in the United States which just completed its $400 million fundraising to hit an $8 billion valuation. According to the exchange, the new fund for the global outfit will now be deployed into developing additional products aimed at broadening the platform’s reach.

“This round will support our continued mission of delivering innovative products and services to the marketplace as well as expanding our global reach with additional licenses around the world,” said Sam Bankman-Fried, Chief Executive Officer of FTX. “With the ongoing support from our dedicated investors and userbase, FTX will look to continue interacting with regulators to facilitate access to digital assets in a safe and compliant manner. We look forward to working alongside our investors to achieve our mission and continue our tremendous growth throughout 2022 and beyond.”

In the past 6 months, FTX has raised a total of $1.8 billion from venture capital firms, cementing its stand as one of the most liquid trading platforms around. Back in October when the firm completed its Series B-1 funding round, it was valued at $25 billion, and the current valuation shows the firm is growing at a very progressive rate.

FTX is ranked the third-largest trading platform by volume, a feat it achieved by growing its user base by more than 60% since the last funding round. The exchange recently launched FTX Ventures, a $2 billion venture fund created to advance global blockchain, cryptocurrency, and Web3 adoption.

Blockchain Investments in 2021 Surpasses Past 3 Years' Total Capital Raised: KPMG

The blockchain ecosystem might still be relatively tagged as new. However, when it comes to funding and recognition by Venture Capital (VC) Firms, they are arguably fast attaining maturity.

According to a new report by Big Four auditing firm KPMG, investments pumped into blockchain startups in 2021 topped $30 billion, a figure that surpasses funding received in 2018, 2019, and 2020 combined. Investments in blockchain protocols have been steady over the past few years, with a progression that showcases more VCs are becoming aware of the potentials inherent in this space.

While a total of $8.2 billion was realized in 2018, fueled by the first massive growth trend of Bitcoin (BTC) to an all-time-high (ATH) above $17,000 in December 2017, $5.6 billion was recorded in 2019, and $5.5 billion in 2020. In 2018, the total transaction record was placed at 901 deals, while the current data published by KPMG pegs this number at 1,332 deals for last year.

“Investment in the crypto and blockchain space soared in 2021, rising from $5.4 billion in 2020 to over $30 billion. Globally, there was an incredible increase in the level of recognition for the potential role of crypto and its underlying technologies in modern financial systems,” the report reads.

The massive positive outlook in the general digital currency ecosystem has also drawn a massive crackdown from regulators worldwide. While Chinese authorities have initiated a complete ban on crypto, Russia has also been contemplating its regulatory approach to the fast-growing industry.

This year opened up to a massive bullish stance when it comes to blockchain funding and investments. While firms like FTX Derivatives Exchange topped the list of crypto firms that received backing from investors last year up to $1 billion, the company has also inked a new $400 million to push its valuation to $32 billion. Overall, current trends suggest investors are not willing to slow down in their backing of protocols that will define the future of the internet.

Sequoia Capital Invests over $500M to Participate in Crypto Governance

California-based venture capital firm, Sequoia Capital, is doubling down on its bullish stance in the digital currency ecosystem with the launch of a $500 to $600 million investment dubbed the Sequoia Capital Fund.

As detailed by the company, the establishment of the fund is aimed at becoming an active participant in the key decentralized and open-source protocols that it backs.

According to the company, its major partners in the crypto ecosystem have often asked it to do more than just invest in the space and evolve into either a liquidity provider of any of such related activities that sustains a blockchain-backed project. With the new funds, Sequoia Capital will invest “primarily on liquid tokens and digital assets.”

“Our goal with this fund is to participate more actively in protocols, better support token-only projects, and learn by doing ourselves,” the Venture Capital said in an announcement. “We remain committed to working collaboratively with the crypto community, including providing ongoing support for open-source research. We will also continue to partner with crypto teams across every stage of their journey out of our seed, venture, growth, and expansion funds.”

According to a Bloomberg report, citing Shaun Maguire, a partner at Sequoia Capital, crypto is believed to be a technology that will form a “megatrend over the next 20 years” additionally calling it “the future of money.”

Founded in 1972 by Donald T Valentine, Sequoia Capital has always put its money where its mouth is and the firm has a number of sizable stakes in digital currency-based firms. As reported by Blockchain.News, Sequoia Capital led the recent $450 million Polygon Network private token sale earlier this month.

The company is also a major investor in Reddit, as well as FTX Derivatives Exchange. The new Fund and the company’s plans are billed to transform Sequoia from just a passive partner to a major offshoot that helps keep protocols running.

Image source: Blockchain.news

Binance Exchange Makes Strategic Venture Investment in Malaysian MX Global

Malaysian-based fintech and trading platform MX Global has announced the onboarding of Binance exchange- the world’s biggest cryptocurrency trading platform in terms of transaction volume, as a strategic investor in the company.

Per the announcement from MX Global, the strategic cooperation will help support sustainable cryptocurrency growth in South-East Asia and create opportunities for future partnerships in the region.

“MX Global aspires to be the preferred liquidity platform for the digital asset or cryptocurrency investors and token issuers locally and internationally,” said Dato’ Fadzli Shah, the Chief Executive Officer of MX Global, “The cooperation of Binance will not only support us in achieving this goal but should also provide the most capital-efficient opportunity for us to align and compete with other global players in the industry. We will continue building a safe, easy, and real digital asset ecosystem for our customers.”

MX Global is one of the major digital currency platforms that is recognized by the Malaysian Securities Commission (SC). The platform follows regulatory provisions to provide customer-centered products to the masses. The funding from Binance will open the platform to the bigger exchange’s network, as it seeks to establish a dominant presence in the Asian region.

“We see potential in Malaysia given its respected and innovative crypto and blockchain community. We believe that partnering with MX Global will be a springboard to new opportunities, both in Malaysia and the region as a whole as well as across the entire crypto and blockchain ecosystem,” said Changpeng Zhao (CZ), Founder and CEO of Binance.

The strategic investment may also be used as an avenue by Binance Exchange to redirect its relationship with the Malaysian finance regulator who flagged the platform for operating illegally in the country. While Binance will use MX Global as one of its options to boost its relationship with the regulator in Malaysia, similar investment strategies come off as one of the exchange’s models to extend its reach and be in the good books of local watchdogs.

Emerging Web3.0 Protocol Aligned Secures $34M in Venture Funding

Operating in “Stealth Mode” for some time now, emerging Web3.0 and Decentralized Finance (DeFi) protocol, Aligned has announced it has secured the sum of $34 million from investors as it seeks to advance the reach of the emerging Web3.0 world.

Through the funding, Aligned is on track to carve out a niche for its in the DeFi ecosystem with an over $186 billion market valuation. Despite the competition around in the industry today, Aligned offers a lot of targeted products and services, including solutions for mining and high-performance computing, staking, and liquidity provisioning, while supporting decentralization through an immutable, full-stack infrastructure for DeFi. These are highly in demand and will give Aligned a massive lifting in DeFi’s competitive world.

“We see Aligned as Web3’s answer to AWS. We are building custom hardware, tooling, and infrastructure at every layer of the stack, which enables us to support decentralized networks and leverage the crypto assets needed to operate decentralized tech. This all goes towards creating massive upside for our clients,” said Sam Cassatt, founder, and CEO of Aligned.

In the statement, Cassatt also mentioned that the startup is lucky to “have the support of like-minded investors who understand the opportunity to create a more perfect business model for running Web3 infrastructure. Our team has ambitious plans to optimize every layer of blockchain, from data centres to DeFi applications, and this fundraising is just the beginning of a breakthrough year for Aligned and our partners.”

While Aligned has a very promising product offering outlook, the profile of Cassatt as a former Chief Strategy Officer at ConsenSys and a notable investor and early Ethereum adopter has given investors more confidence to back the protocol. As announced by the firm, the funding round enjoined participation from GSR, Altium Capital, Cavalry Fund, and Ninja4 amongst other investors with no prominent lead.

Image source: defidaonews.com