DeFi loan firm Euler.xyz raised $ 8 million in a Series A funding round, led by venture capital firm Paradigm.
The company had already raised $ 800,000 in a fundraiser last December, exchanging the funds for 10% of the company’s equity.
Round table lead investor Lemniscap also joined Series A, along with Ethhub co-founder Anthony Sassano, Mythos Capital founder Ryan Sean Adams, Bankless co-founder David Hoffman, founder of Synthetix Kain Warwick and Paradigm Hasu researcher.
Euler started in September last year after its founders won an Encode hackathon and investors encouraged them to develop it into a full protocol. It was incubated by Encode Club, a community of researchers based at universities such as Oxford and Cambridge.
The central idea of the project is to provide borrowing and lending services without authorization, similar to Aave and Compound. The main difference is that Euler wants to allow anyone to create their own lending markets, in the same way that anyone can create a trading pair on the decentralized exchange Uniswap.
It also aims to avoid frontrunning when liquidating loans. The goal here is to prevent MEV mining, something that is becoming much more common on the Ethereum blockchain.
The initial team of four has now grown to 12, including four quick hires following the close of this round (before it was announced). Euler CEO Michael Bentley added that he wanted to use the funding to double the size of the team.
The commissioning of the platform is planned before the end of the year, pending a security audit.
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