DeFi
API3 raised $4 million in funding round led by DWF Labs
Last updated: May 29, 2024, 9:10 a.m. EDT | 1 minute reading
API3, a service that provides DeFi data feeds to blockchain-based smart contracts without the need for a third party, has raised $4 million in a funding round led by DWF Labs.
Multi-Stage Web3 Market Maker and Investment Company DWF Laboratories led the funding round and contributed $2 million.
Other funding came from Spartan Group, which contributed $1 million. Laser Digital, a digital assets company backed by Nomura, and Caladan, formerly known as AlphaLab, both contributed $500,000 each.
The funding raised will be used to provide API3 with liquidity to implement its continued growth strategy. API3 will use the funding for marketing efforts and business development initiatives.
TSV grew from $20 million to over $1 billion
API3 said its total secure value (TSV) increased by 4,900% compared to $20 million to over $1 billion. The data feed company said it has onboarded new chains including the Optimism Superchain ecosystem, X-Layer and Worldcoin.
“API3’s transformative impact on the way decentralized applications use Oracle has been demonstrated by the substantial growth in their total secure value,” said Andrei Grachev, Managing Partner of DWF Labs.
“We look forward to building a strong collaboration to contribute to a future where real-world data is easily accessible and verifiable on-chain,” Grachev said.
API3 operates under a decentralized autonomous organization (DAO) structure. It is a digital management structure governed by smart contracts with decisions recorded and made on a blockchain.
Fundraising hits $2.4 billion in Q1 2024
The crypto market is seeing a significant increase in fundraising, reaching $2.4 billion in the first quarter of 2024.
The latest data from PitchBook, a leading data provider for private and public market investors, shows that there has been a substantial increase in investment activity in the cryptocurrency sector compared to the previous quarter.
The bull market observed in the first quarter played a central role in the investment boom. PitchBook reports that a total of 518 deals totaling $2.3 billion were completed in the first quarter of this year. This reflects a remarkable 40.3% increase in investments compared to the previous quarter.