Ondo Finance, a crypto startup that seeks to create a decentralized investment bank and offer customized financial products to institutional and retail investors, secured $20 million in its Series A funding round.
The funding was co-led by Founders Fund, a venture capital firm founded by Peter Thiel and Pantera Capital, a blockchain-focused institutional asset manager. Coinbase Ventures, GoldenTree, Tiger Global, Wintermute, Flow Traders and Steel Perlot have joined the round as strategic investors, Ondo Finance noted in a Press release.
In August 2021, Ondo announcement a $4 million seed round led by Pantera Capital.
Ondo Finance is considering more DeFi products
The startup will use the funds to build its team as part of broader plans to accelerate the adoption of decentralized finance (DeFi) in the traditional investment industry.
Additionally, the company wants to launch new products and enhance its range of existing product offerings, including decentralized structured products and liquidity-as-a-service offering.
“Vaults”, which are bundles of DeFi products tempered by different levels of risk and through which investors can protect themselves against downside risks, have become very popular. Ondo wants to provide more products and access.
“We were thrilled to see the demand for Ondo’s community chests and Liquidity-as-a-Service offerings, which really was a simple MVP with no liquidity mining or other incentives from us.said Nathan Allman, founder and CEO of the startup.
He added that the team is considering new products that make it even easier for passive investors to seek exposure to DeFi returns.
According to Allman, the new products will come with custom risk levels and include vaults for algorithmic stablecoins and blockchains.