LightLink, a layer-2 blockchain on Ethereum, announced that it secured $6.2 million in funding during an extended seed round. This funding came from a mix of institutional and individual investors. The company stated on social media that there are no further funding rounds planned for the time being. This decision was made to benefit the company’s ecosystem by partnering with the right long-term backers.
The seed round was extended due to high demand from investors, resulting in an additional $1.7 million being raised by the startup. The participants in this funding round included notable venture capital funds such as MH Ventures and industry-leading KOLs. The company plans to use this influx of capital to support its vision of a web3 ecosystem accessible to millions of users while advancing proprietary technologies for gasless transactions.
LightLink’s co-founder and CEO, Roy Hui, expressed enthusiasm about the investment and highlighted the company’s commitment to practical blockchain solutions. The company reports about 115,000 daily transactions and has a strategic alliance with Animoca Brands. Additionally, it is preparing to launch its LL token, backed by a liquidity bootstrapping pool. This move is aimed at ensuring equitable distribution and efficient price discovery within the LightLink ecosystem, which supports instant, gasless transactions for dapps and enterprises.
The successful seed round reflects a trend of renewed interest from venture capital firms in the crypto space. Data from Crypto Koryo shows that venture capital funding in crypto projects has surged by 38% since Q4 2023. The number of crypto projects receiving VC funding also increased by 49%, with major investment rounds led by firms like Andreessen Horowitz, OKX Ventures, and Paradigm. In March alone, over $1.1 billion was invested by crypto VC funds across 180 startups, with a focus on infrastructure and decentralized finance projects.
This upward momentum in VC funding indicates a positive outlook for continued growth and innovation in the crypto space. Observers believe that the trend seen in the fourth quarter of 2023 will likely continue, driving further investment and development in the industry. LightLink’s successful funding round is a testament to the increasing interest and support from both institutional and individual investors in the blockchain and cryptocurrency sector.
