- Tim Draper's VC agency Draper Associates led a $3.5 million seed spherical for Zest Protocol.
- Key contributors embody Binance Labs, Belief Machines and Bitcoin Frontier Fund.
Billionaire Tim Draper led an preliminary $3.5 million funding in on-chain bitcoin lending platform Zest Protocol.
Along with billionaire enterprise capital agency Draper Associates, Binance Labs, Belief Machines and Movement Merchants additionally participated within the spherical.
Bitcoin Frontier Fund, Gravity Fund, Primal Capital, Hyperithm, Miton Crypto, Tykhe Block Ventures, Elixir Capital additionally participated.
In response to particulars launched in a weblog submit on Monday, Zest will use the funds to increase its decentralized peer-to-peer lending enterprise.
On the platform, customers can lend or borrow towards their Bitcoins (BTC). This offers customers the chance to generate income or passive earnings with out having to promote their bitcoins.
The Development of the Bitcoin DeFi Ecosystem
To convey the product to the group, the Zest protocol leveraged Bitcoin community layer 2 stacks. The undertaking makes use of Nakamoto's Stacks improve to permit belongings to bridge belongings and unlock entry to DeFi on Bitcoin.
Tycho Onnasch, founding father of Zest Protocol, acknowledged:
“Not like Ethereum, it isn’t potential to create fundamental DeFi primitives reminiscent of liquidity swimming pools on Bitcoin L1. The Stacks sBTC improve is supposed to be a watershed second for Bitcoin DeFi, which is what it was designed to do from the start.”
Customers with sBTC can fund their Zest protocol balances with sBTC to entry lending or different income producing options.
