- Tim Draper’s VC agency Draper Associates led the $3.5 million seed spherical for Zest Protocol.
- Binance Labs, Belief Machines and Bitcoin Frontier Fund amongst key contributors.
Billionaire Tim Draper has led a $3.5 million seed spherical funding within the on-chain Bitcoin lending platform Zest Protocol.
Aside from the billionaire’s enterprise capital agency Draper Associates, the spherical additionally attracted the participation of Binance Labs, Belief Machines and Stream Merchants.
Bitcoin Frontier Fund, Gravity Fund, Primal Capital, Hyperithm, Miton Crypto, Tykhe Block Ventures, Elixir Capital additionally participated.
Per particulars revealed in a weblog submit on Monday, Zest will use the funds to broaden its decentralised, peer-to-peer lending enterprise.
On the platform, customers can lend their Bitcoin (BTC) or borrow towards it. With this, customers have a possibility to generate yield or passive revenue with out having to promote their Bitcoin.
Rising the Bitcoin DeFi ecosystem
To deliver the product to the neighborhood, Zest Protocol has tapped into Bitcoin layer 2 community Stacks. The mission leverages Stacks’ Nakamoto improve to permit for asset bridging asset, unlocking entry to DeFi on Bitcoin.
Tycho Onnasch, founding father of Zest Protocol, commented:
“Not like on Ethereum, the creation of fundamental DeFi primitives equivalent to liquidity swimming pools isn’t doable on Bitcoin L1. The Stacks sBTC improve is about to be a watershed second for Bitcoin DeFi, which is what it was designed for from the start.”
Customers with sBTC can fund their Zest Protocol balances with sBTC to realize entry to lending or different yield-generating options.