- Underscores the strategic importance of investor backing for Ellipsis Labs’ development efforts within the decentralized finance (DeFi) space.
- The $20 million Series A funding round, led by Paradigm and supplemented by Electric Capital and notable industry figures, provides Ellipsis Labs with crucial financial resources to accelerate the development of its DeFi technology stack.
Ellipsis Labs, a developer of decentralized crypto exchanges, has successfully raised $20 million in Series A funding, with Paradigm leading the investment round.
Joining Paradigm in the funding were Electric Capital, along with notable backers such as Justin Drake and Mike Neuder from the Ethereum Foundation, Sreeram Kannan from EigenLayer, Anatoly Yakovenko from Solana Labs, and Uri Klarman from bloXroute, among others. The injection of capital will fuel Ellipsis Labs’ ongoing efforts in advancing its DeFi technology stack.
One of the flagship products of Ellipsis Labs is Phoenix, an on-chain order book decentralized exchange designed specifically for the Solana blockchain. According to the firm, Phoenix represents a fusion of the efficiency of order books with the accessibility and transparency of decentralized finance (DeFi). The platform was conceived with the aim of enhancing on-chain liquidity primitives, a journey that Ellipsis Labs embarked on 1.5 years ago.
This Series A funding marks another significant milestone for Ellipsis Labs, following a $3.3 million seed round led by Electric Capital in August 2023. With the backing of Paradigm and other prominent investors, Ellipsis Labs is poised to accelerate its development efforts and further solidify its position within the DeFi ecosystem.
Phoenix, the flagship DEX developed by Ellipsis Labs, has already made waves within the Solana ecosystem. With a total value locked (TVL) of $14.31 million and a daily trading volume of $238.79 million, Phoenix ranks as the eighth largest Solana-based decentralized exchange in terms of TVL, according to DeFiLlama.
One distinguishing feature of Phoenix is its instant settlement mechanism, which eliminates the need for “crank” in trade settlements. While cranks provide high throughput and low latency for blockchain ecosystems like Solana, they introduce complexity and unpredictability into the system. Phoenix circumvents this by settling trades asynchronously, ensuring efficiency without sacrificing transparency or predictability.
Moreover, Phoenix provides comprehensive on-chain market events data, including information on limit orders placed, filled orders, and canceled orders. This commitment to transparency allows users to track and audit Phoenix’s activity on the blockchain, ensuring a high level of trust and accountability.
In a statement released on Thursday, Ellipsis Labs emphasized its long-term vision for DeFi, emphasizing the importance of bringing the advantages of decentralized systems to traditional financial practices. Phoenix represents just the initial step towards achieving this goal, signaling Ellipsis Labs’ commitment to building a better financial system grounded in accessibility, transparency, and efficiency.
Ellipsis Labs Secures Funding for DeFi Advancements
Ellipsis Labs’ successful $20 million Series A funding, led by Paradigm, marks a significant milestone in the evolution of decentralized finance (DeFi). With support from key investors and the development of its flagship DEX, Phoenix, Ellipsis Labs is poised to drive innovation within the Solana ecosystem. As the firm continues to advance its DeFi technology stack, it reaffirms its commitment to building a transparent, accessible, and efficient financial system for the future.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
