A Web3 company has the ambitious goal of bridging liquidity across DeFi, CeFi, and TradFi on a trustless fund infrastructure based on the ERC-3525. Solv, developer of a protocol that enables fundraising from on-chain financial instruments, raised $6M from investors including Nomura. Per the company website, they helped raise $158M for fund products, have TVL of $53M, and served over 25,000 users.
The pain points that Solv addresses for on-chain funds are asset creation and risk management. Currently the company’s target fundraising users are on-chain market makers, VC, and DAOs. Fundraisers will be able to create complex financial products on-chain which are wrapped as Semi-Fungible Tokens (SFTs), giving global investors abundant opportunities to access various yield strategies. SFTs are a 3rd blockchain-based asset class, different from a fungible token (crypto equivalent of currency) and an NFT (has its own ID and custom metadata). SFTs have elements of FTs and NFTs, similar to gift vouchers and coupons. Solv’s platform will include institutional-grade fund services, including fund screening and evaluations, scam prevention, and liquidation procedures that are set with the goal of limiting losses.
This is an interesting project to watch due to the Nomura investment. The project’s native SOLV token is not yet available as of writing, but updates will be added here in the future.
A Web3 project is bringing derivative pricing and risk management methodologies from TradFi to DeFi. D8X, a perpetual futures DEX on Polygon, raised $1.5 million in a Pre-Seed round. Traders can enter long or short positions on linear, inverse, and quanto perpetual contracts after putting down a margin.
An automated market maker (“AMM”) is the counterparty for each trade, and order types include market orders, limit orders, stop limit orders, fill or kill orders, and more. Liquidity providers add liquidity to perpetual pools that are collateralized by USDC or MATIC, and participate in the profit and losses of the AMM in that pool.
D8X claims to offer the best trading conditions in DeFi. Per the company, “This is due to D8X’s use of a derivative pricing approach borrowed from traditional finance and the application of risk-mitigation techniques similar to those used by enterprise-wide risk management and clearing houses.” Competitor platforms use linear pricing functions which misprice risk. The project’s governance token will be launched when the platform is open for trading.
VC Investments into Crypto Projects
The full list of the institutional investments that Ruceto tracked last week is below. Links to the target company website, investment announcement, and token info are provided via hyperlinks on the Target Name, $ Raised, and Token columns respectively.
| Target Name | $ Raised | Lead Investors | Description | Token |
|---|---|---|---|---|
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Dragonfly, Folius Ventures |
Web3 mahjong blockchain game platform on Ethereum |
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Golden Record Ventures |
Platform that enables crypto and fiat payments |
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Laser Digital (sub of Nomura), UOB Venture Management, Mirana Ventures, Emirates Consortium, Matrix Partners, Apollo Capital, HashCIB, Geek Cartel, Bing Ventures, Bytetrade Labs |
Trustless DeFi platform that bridges DeFi, CeFi and TradFi liquidity |
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Binance Labs, Sequoia China, and more |
Privacy-preserving protocol and developer of TransGate which allows private and selective data validation on any HTTPS website to the web3 world |
TBD |
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Polygon Ventures, SwissBorg Ventures, Axelar, Veris Ventures, G1 Ventures, Coginent Ventures, Crypto Discover, Pragma, and more |
Perpetual futures DEX on Polygon, based on derivative pricing and risk management methodologies from TradFi |
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What’s happening at Ruceto
We just published our deep dive investor report on Sei Network to our Research collection (https://ruceto.com/research/). This is an absolute must read before Sei’s mainnet. Sei is an upcoming L1 that is being built specifically to provide a suitable trading infrastructure for decentralized applications. Sei has been running its testnet campaign since Nov 2022, and we estimate the mainnet to be later this year. If you’re looking for a token to add to your portfolio, our report could help you in the decision-making process as we include an illustrative valuation.
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