Biconomy Raises $9M in Private Funding, Aims to Simplify Crypto Transactions
Prior to this round, Biconomy raised $1.5 million in a seed round back in Q4 2020, CEO Ahmed Al-Balaghi said in an interview with Blockworks.
Biconomy CEO Ahmed Al-Balaghi
key takeaways
- The new round of funding will help the company scale its current products, community growth and ensure its multi-chain transaction infrastructure for its Web 3.0 applications
- Looking toward the future, Al-Balaghi said the company is planning to “tap deeply into the different chain ecosystems”
Biconomy raised $9 million in a private funding round led by Mechanism Capital and DACM to develop its multichain relayer network, the company said.
The two-year-old company focuses on a multichain relayer infrastructure network and translation platform that helps Web 3.0 developers build applications.
Investments for the funding also include Coinbase Ventures, Coinfund, True Ventures, Bain Capital Ventures, NFX, Proof Group, Ledgerprime, Huobi Innovation Labs, Primitive Ventures, Genblock and Rarestone Capital. This round also includes participation from previous investors including Woodstock Fund, Eden Block, and Zee Prime Capital.
Prior to this funding, Biconomy raised $1.5 million in a seed round back in Q4 2020, CEO Ahmed Al-Balaghi said in an email to Blockworks.
To date, Biconomy has raised a total of $10.5 million and has processed over 3.6 million mainnet transactions, which represent a transaction volume of $572 million for over 30 live integrations on all major chains.
The new round of funding will help the company scale its current products, community growth and ensure its multi-chain transaction infrastructure for its Web 3.0 applications, the company said.
Every crypto interaction is complicated, whether it’s simple tasks like buying and selling or complex interactions through a variety of decentralized finance contracts or applications, these are major roadblocks to mainstream adoption since most people can’t figure it out, Al-Balaghi said.
“We want to make it easy for dApp [decentralized apps] to bring the simple and familiar Web 2.0 experiences to the Web 3.0 world,” Al-Balaghi said.
For this round, Al-Balaghi said investors are hoping to use the capital to grow one of Biconomy’s established products, Gasless, and to start building out the multichain relayer protocol.
“The key thing here is that [investors] believe in the vision that currently the crypto transactional layer is not fit for the mainstream and there’s a long way before we hit real mainstream adoption,” he added.
Looking toward the future, Al-Balaghi said the company is planning to “tap deeply into the different chain ecosystems.”
Biconomy is already live on Polygon (Matic), xDai, Binance Smart Chain, Avalanche, Moonbeam, Edgeware and Arbitrum, but, for the rest of the year it will focus on the dApp ecosystem, but it depends on the developer activity they observe, he added.
Biconomy’s raise adds to a slew of other funding news this week, including Fireblocks, Eco, Saber Labs, Hedgehog and Valora, the latter of which is focused on simplifying how people can save, spend and send cryptocurrencies.
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