Satoshi Protocol, a provider of a protocol designed for the Bitcoin ecosystem, raised $2M in Seed funding.
The round was led by Cypher Capital, Side Door Ventures, Optic Capital, Metalpha, Outliers Fund, Comma3 ventures, and angel investors like Paul Taylor (ex-BlackRock) and Yenwen Feng (founder of Perpetual Protocol).
The company intends to use the funds to accelerate its development roadmap, which is divided into four distinct phases:
- Phase 1 (Completed – Q2 2024): The initial phase focused on establishing a solid foundation by completing risk management assessments and audits in June 2024.
- Phase 2 (Current Stage – Q3 2024): The current phase prioritizes attracting additional liquidity from multiple Layer 2 and Layer 1. This focus on liquidity aggregation will be crucial for establishing $SAT as a widely adopted and reliable stablecoin within the ecosystem.
- Phase 3 (Q3 2024): This phase will see the development of the Nexus Yield Module (NYM). This module will increase the utility of $SAT by allowing users to participate in yield-generating opportunities with USDT, USDC, and other stablecoins.
- Phase 4 (Q4 2024): The final phase will be dedicated to the seamless adoption of NYM across the Bitcoin mainnet and execution layers integrated with various L2. This widespread integration will solidify $SAT’s position as a universal stablecoin in the BTCFi space.
Satoshi Protocol provides a stablecoin protocol backed by Bitcoin. Users can deposit BTC or LST as collateral to mint the stablecoin $SAT on the Bitcoin mainnet and multiple L2s.
This innovative approach aims to offer advantages like:
- Enhanced Utility for Bitcoin: $SAT unlocks a broader range of use cases for Bitcoin within DeFi protocols, enabling users to participate in lending, borrowing, and other financial activities without converting their BTC holdings.
- Preserve Bitcoin’s Core Values: By remaining anchored to Bitcoin, $SAT inherits the security and censorship resistance fundamental to Bitcoin’s design.
- Enhanced Liquidity: $SAT bridges Bitcoin and other DeFi ecosystems, promoting greater liquidity and facilitating seamless capital flow within the broader cryptocurrency space.
- Increase Capital Efficiency: Satoshi Protocol unlocks a wider range of investment opportunities and amplifies earning potential by allowing users to leverage their Bitcoin holdings through $SAT.
FinSMEs
15/07/2024