Key Points
- Bitlayer has raised $11 million in a Series A funding round led by Franklin Templeton and ABCDE.
- The funds will be used to expand its ecosystem and develop its Mainnet-V2.
Bitlayer has announced a successful Series A funding round, raising $11 million. The round was spearheaded by Franklin Templeton and ABCDE, increasing Bitlayer’s total funding to $16 million.
Bitlayer’s Expansion Plans
The funding is expected to enhance Bitlayer’s development of its Web3 platform, which operates on BitVM. This system allows the execution of smart contracts on the Bitcoin network. The exact valuation of the firm, however, remains undisclosed.
ABCDE Capital’s managing partner, BMAN, highlighted Bitlayer’s significant role in the Bitcoin network. He noted that the firm has amassed over $500 million in total locked value with approximately 300 projects.
Bitlayer’s Future Prospects
Bitlayer plans to utilize the new capital to expand its ecosystem by supporting Web3 protocols built specifically within it. The funds will also aid in the development of Bitlayer’s Mainnet-V2, a Bitcoin-native rollup.
According to a projection made by Pantera Capital in February, the Bitcoin-based ecosystem of the decentralized finance sector could accumulate hundreds of billions of dollars in liquidity through Web3 protocols. This is particularly likely if it achieves similar market shares as those on the Ethereum blockchain.
Decentralized applications on Ethereum have historically constituted between 8% and 50% of its market cap. Based on these proportions, Bitcoin could see an influx of approximately $225 billion in value.
The funding round also saw contributions from Stake Capital Group, WAGMI Ventures, Skyland Ventures, and GSR Ventures, among others.
