The round follows a $1.5M seed round and was backed by Coinbase Ventures and Huobi Innovation Labs
Blockchain firm Biconomy announced yesterday that it had raised $9 million in private funding. The round was led by Mechanism Capital and DACM, with the participation of Coinbase Ventures, Huobi Innovation Labs, Ledgerprime, Bain Capital and NFX, among others.
The funding round was also backed by angel investors such as Aave’s Stani Kulechov, Polygon’s Arjun Krishan Kalsy and Curve Finance’s Ben Hauser. This comes just six months after the company revealed it had raised $1.5 million in a seed round.
Launched in 2020, Biconomy aims to make decentralised applications (dApps) and Web 3.0 more user-friendly by building transaction infrastructure with powerful APIs for next-generation Web 3.0 applications.
As DACM CEO, Richard Galvin, explained earlier this year, “Ahmed and the Biconomy team’s solutions reduce transaction friction whilst also freeing dev teams to spend more time focusing on the value-adding ideas unique to their project.”
Last year, Biconomy facilitated gasless metatransactions by building a relayer network and onboarded partners including Decentral Games, Curve Finance, Perpetual Protocol and Zed Run. The firm also provided flexible gas payment options with its Forward product, which enables users to pay gas fees in tokens other than Ether, such as stablecoins.
With more than 30 live integrations on all major chains, Biconomy has now processed more than 3.7 million mainnet transactions, worth $572 million.
Moving forward, Biconomy aims to bridge Polygon and Ethereum with its next project, Hyphen. The product already has a testnet and the mainnet is expected to be launched within weeks.
The team will additionally be launching its own cryptocurrency, BICO, to incentivise stakeholders and secure the network. It will also provide the community with governance rights, with more details to follow in the upcoming token economics paper.
An integral part of the ecosystem will be the multi-chain relayer protocol Biconomy is building. The blockchain infrastructure firm believes in progressive decentralisation, and node operators, liquidity providers, stakers and others will power the network as it gradually moves to community ownership.