- Hashflow – a decentralized exchange connecting DeFi traders with major players in the crypto market – recently announced that it has closed a $ 3.2 million seed funding round. These are the details.
Hashflow – a decentralized exchange connecting DeFi traders with major players in the crypto market – recently announced that it has closed a $ 3.2 million seed funding round from major venture capitalists and angel investors. This round of funding was led by Dragonfly Capital and Electric Capital, and joined by IDEO Ventures, Alameda Research, Metastable, Galaxy Digital, Unanimous Capital and angels such as Balaji Srinivasan, Kain Warwick and Ryan Sean Adams.
Decentralized trading on Ethereum has grown rapidly over the past year with over $ 215 billion traded on DeFi alone in the first quarter of 2021. And that growth can be attributed to the popularity of Automated Market Makers (AMMs) which have catalyzed DeFi’s explosive growth by offering an unauthorized on-chain trading experience.
Hashflow builds on this foundation laid by AMMs by connecting DeFi traders with the main players in the crypto market. And using Hashflow, traders can receive quotes directly from market markers and broadcast on-chain trades using Web3 portfolios in a completely trustless manner. By replacing AMM bond curves with professional market makers, Hashflow is able to offer traders better prices, no slippage, and the lowest gas costs of any decentralized exchange on Ethereum.
For market makers, Hashflow is able to provide access to the expanding DeFi market while allowing full control over their inventory and pricing strategies. And so far, market makers have had to deploy capital in public liquidity pools, use pre-built pricing functions, and pay hefty gas fees to switch strategies on-chain. Thanks to Hashflow, market makers can use tailor-made pricing strategies and chain them together using digital signatures. This gives market makers full control over their capital and flexibility to adapt to market conditions, using strategies informed by years of experience in centralized markets.
Hashflow had launched its closed private alpha product this week with market makers offering price quotes to traders on the Ethereum mainnet. And in the coming weeks, Hashflow plans to onboard more market makers and add additional asset pairs that dominate on-chain trading volumes. The general public will be able to access Hashflow and interact on-chain with market makers by the end of the second quarter.
“Hashflow is the first project we have supported that transparently allows market makers to offer efficient prices to DeFi traders.”
– Jon Kol, director at Galaxy Digital