Blueprint Finance, a company that aims to solve the problem of liquidations and foster the next phase of decentralized finance (DeFi) growth, has announced that it has raised $7.5M in funding. The round was led by Hashed and Tribe Capital, with participation from several other investors and foundations.
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Blueprint Finance was founded in 2022, after witnessing the collapse of FTX, a centralized crypto lending platform that suffered a massive hack and lost over $150M of user funds. The incident highlighted the need for more robust and capital-efficient DeFi markets, as well as the resilience of on-chain systems.
Their known for there flagship product the Concrete Protocol, an appchain purpose-built for on-chain debt and credit. An appchain can offer faster transactions, lower fees, and higher security than a general-purpose blockchain. By using an appchain, Blueprint Finance can provide a seamless and efficient on-chain credit market that can interact with other DeFi protocols and platforms. Concrete powers higher yields, liquidation protection, and advanced predictions across all of DeFi, starting with money markets.
The Concrete Protocol allows users to minimize the need for idle capital on hand by protecting leveraged positions against collateral depreciation. Concrete then offers attractive yield opportunities for liquidity providers to fund these protective tranches of capital for positions in need.
Using a series of quantitative methodologies, Concrete calculates the probability of collateral depreciation over time and creates a fully automated protection agreement to fund a position as it approaches liquidation thresholds.
Nic Roberts-Huntley, Co-Founder & CEO of Blueprint Finance, said:
“This financing is a significant milestone for us as a company. With Concrete, we are in a position to solve the most pervasive issues in crypto and build the foundational layer for on-chain credit. DeFi is approaching a major inflection point, and lending activity will massively increase. We support existing activity and importantly unlock brand new markets in DeFi.”
Blueprint’s team is led by 12 lead investors, they are Hashed and Tribe Capital, and the most recent investors are Terra Nova and Hashed. Some of the other investors include Awesome People Ventures, The Avalanche Foundation, Hyperithm, Veris Ventures, Lightshift, and Hypersphere Ventures.
Baek Kim, General Partner at Hashed, said they believe Concrete will be a driving force in creating confidence in the on-chain financial system. Kim added that the team brings a wealth of experience in both crypto and compliant financial services.
According to a report by DeFi Pulse, the total value locked (TVL) in DeFi protocols has reached over $100B as of February 2024, a 10x increase from a year ago. However, the sector also faces challenges such as high gas fees, scalability issues, security risks, and regulatory uncertainty.
Blueprint Finance aims to address these challenges and unlock the full potential of DeFi by providing a native on-chain credit market that can be used across leading money markets. The company plans to use the new funding to expand its team, launch its mainnet, and integrate with more DeFi protocols and platforms.
Sources:
- DeFi Adoption: Blueprint Finance Secures $7.5M to Support On-Chain Debt and Credit Solution
- DeFi Pulse
- Protocol Village: Blueprint Finance Emerges With $7.5M of Funding, Concrete Protocol
- Blueprint Finance Raises $7.5M in Funding