Top-tier venture capitalists supported a fresh funding round of the first regulated "DeFi neobank," Scallop. Both institutions and angel investors are enthusiastic about the product's mission and vision.
$2.5 million funding for "DeFi neobank"
According to the press release shared with U.Today, Scallop, a one-stop digital finances application for retail users, is set to close its strategic funding round with $2.5 million secured.
Veteran blockchain-orietned VC fund Blackedge Capital has led this round. Blackedge Capital is well known for being the early backers of the Public Mint and Coti (COTI) applications.
Also, digital assets heavyweights X21 Capital, Bitcoin.com, Magnus Capital, Amesten Capital, Marketcross, ZBS Capital, Solidity ventures, J8 ventures and MahaDAO supported this round.
Scallop is the first-ever startup incubated by MahaDAO; it utilizes its core native ARTH token to launch its pioneering inflation-proof bank account.
Raj Bagadi, CEO and founder of Scallop, stresses the importance of this funding round for the entire segment of B2C-focused decentralized solutions:
Scallop will allow its users to use their digital assets in the real world for the very first time. This is a major step for any foreseeable future of cryptocurrencies; without using crypto in the same way as fiat, the future is limited.
Bridging the gap between fiat and crypto in retail banking
Pranay Sanghavi, co-creator at MahaDAO, emphasized the potential of the engineers behind the new project and its importance in addressing the major bottlenecks of cryptocurrency adoption:
We're thrilled to back Scallop as they are innovatively addressing a major obstacle in both the crypto and banking world, and are creating a next generation banking ecosystem in a smooth and seamless manner. The team at Scallop are highly talented, and I can't wait for them to share with the world their amazing vision.
Scallop was launched to make major DeFi solutions mainstream by integrating them into a "one-for-all" banking ecosystem. It merges the benefits of CeFi and DeFi products to deliver digital finances services to both newbies and crypto professionals.
Namely, Scallop instruments allow customers to send and receive value, perform basic lending/borrowing operations, clear cross-border money wires and so on.