Solana-based decentralised exchange (DEX) Orca and lending platform Loopscale are merging and will launch under the new name Formation, The Block reported on Oct. 7 local time.
The combined company will be led by Loopscale co-founder Luke Truitt (루크 트루이트), the report said. Financial terms of the merger were not disclosed.
Formation aims to combine Orca’s trading infrastructure with Loopscale’s lending and investment products to support everything from asset issuance to fundraising and trading in one place. The two companies plan to expand the business beyond crypto trading and lending so that companies in capital-intensive fields such as AI, energy, robotics and the defence industry can also raise funds.
Formation said small transactions often incur excessively high costs when borrowing from traditional finance. It plans to lower those costs and, over the long term, provide access to regulated U.S. capital markets.
Truitt, the CEO, said, "Advanced industries are creating new business models and funding demand so quickly that existing market infrastructure cannot keep up."
Chi-gyu Hwang
delight@d-today.co.kr