Crypto startup Cycles, founded by Cosmos co-founder Ethan Buchman (에단 부크먼), has raised $6.4 million in funding.
The Block recently reported that Blockchain Ventures led the round, with participation from Coinbase Ventures, Compound VC, Primitive Ventures and angel investors. Cycles' total funding raised increased to $8.7 million.
Cycles is developing a blockchain-based settlement protocol that offsets money owed among multiple transaction parties at once to minimise actual fund movements.
Cycles said it uses technologies including zero-knowledge proofs, trusted execution environments (TEE) and graph algorithms to build a network of debt relationships, enabling it to settle the maximum volume of transactions with minimum capital.
Buchman said, "Settlement is a financial superpower, but it was only possible at large financial institutions or in small friend groups splitting bills. The goal is to build a general-purpose, capital-efficient payments and financial engine that lets everyone do more with fewer resources."
Cycles is also launching a stablecoin, Cycles Pay, linked to its settlement engine.
Chi-gyu Hwang
delight@d-today.co.kr