Crypto Funding: LayerZero Makes Big Splash in $251M Week

Governance protocol M^Zero Labs picked up $22.5 million of its own as well

article-image

StockStyle/Shutterstock modified by Blockworks

share

Crypto startup fundraising ticked upward this week, with 18 different companies raking in approximately $251 million total — a modest increase from last week’s $227 million. 

LayerZero, a cross-chain interoperability protocol, raised $120 million in its Series B round, securing the largest raise of the group by far and acquiring a $3 billion valuation. Investors in this messaging protocol for decentralized applications (dapps) included a16z, Christie’s, Sequoia Capital and OpenSea Ventures, just to name a few.

LayerZero’s multibillion-dollar valuation comes after crypto hardware wallet maker Ledger was said to be valued at $1.4 billion after its capital raise last week. 

Blockworks previously reported that LayerZero has its eyes on the gaming industry, where cross-chain messaging is becoming integral in the distribution of digital assets players win while playing.

A focus on permissionless token creation

Shifting over to digital currency, M^Zero Labs announced it had raised $22.5 million in a seed round. The lead investor was Pantera Capital with Road Capital, AirTree Ventures and others kicking in funds as well. 

M^Zero intends to serve as a way to “permissionlessly mint currencies under decentralized governance,” according to its website. 

Luca Prosperi, founder and CEO of M^Zero Labs, posted a thread on Twitter, explaining that his product will be a “neutral financial infrastructure” on top of Ethereum.

Loading Tweet..

Prosperi told Blockworks his aim is to launch M^Zero by the end of the year. 

Other notable funding rounds this week

  • RACA, a Web3 gaming ecosystem, raised $30 million for an expansion, $16 million of which came from DWF Labs.
  • SwissBorg, a European crypto investing platform, raised $23 million in its Series A round from thousands of investors. 
  • Cryptocurrency exchange Bitget secured $10 million from Dragonfly Capital.
  • Unstoppable DeFi raised 2,050 ETH, or about $3.8 million, through the launch of their new token UND.

Get the news in your inbox. Explore Blockworks newsletters:

  • Blockworks Daily: The newsletter that helps thousands of investors understand crypto and the markets, by Byron Gilliam.
  • Empire: Start your morning with the top news and analysis to inform your day in crypto.
  • Forward Guidance: Reporting and analysis on the growing intersection of crypto and macroeconomics, policy and finance.
  • 0xResearch: Alpha directly in your inbox. Market highlights, data, degen trade ideas, governance updates, token performance and more.
  • Lightspeed: Built for Solana investors, developers and community members. The latest from one of crypto’s hottest networks.
  • The Drop: For crypto collectors and traders, covering apps, games, memes and more.
  • Supply Shock: Tracking Bitcoin’s rise from internet plaything worth less than a penny to global phenomenon disrupting money as we know it.
Tags

Upcoming Events

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research

article-image

Anticipating an economic downturn, venture firms may be less likely to invest

article-image

Trump’s tariffs may have potentially significant impacts on GDP, household spending and food prices — if they hold

article-image

The Binance-affiliated stablecoin lost about $200M of market capitalization

article-image

How the Bitcoin conversation has evolved since the price was less than $1

article-image

The platform also rolled out 13 tokenized funds for institutions on the Connect platform

article-image

The company’s expanded lineup introduces new ETF products, as more and more issuers get into crypto funds