API3, a prominent decentralized API services provider for blockchain networks, has recently concluded a significant treasury diversification round, securing $4 million in USDC. The round was led by DWF Labs and joined by key venture capital players such as Spartan Group, Laser Digital (a division of Nomura), and Caladan (formerly AlphaLab).
This strategic financial move aims to strengthen API3’s market presence and operational capabilities, enabling the project to innovate and expand within the decentralized finance (DeFi) ecosystem. The funding not only injects substantial capital into API3 but also aligns it with partners that bring strategic advantages, paving the way for further development and integration of its technology across various platforms and applications, especially focusing on enhancing decentralized applications (dApps) and blockchain networks.
The funds will specifically support initiatives like the mainnet launch of the OEV Network, demonstrating API3’s commitment to improving the accessibility and functionality of decentralized oracles.
Celebrating our leadership in @API3DAO’s strategic funding round! Congrats to the team on this milestone. This funding will accelerate API3’s mission to revolutionize the oracle landscape and advance the global on-chain financial system. We eagerly anticipate their future endeavors.
Unlocking New Opportunities with API3’s Enhanced Financial Strategy
In this funding round, 1,423,500 API3 tokens were allocated at $2.81 each, representing a 20% discount from the 7-day TWAP of $3.51 per token. DWF Labs received 711,744 API3 for their $2 million contribution, Spartan Group was allocated 355,872 API3 for $1 million, and both Laser Digital and Caladan received 177,936 API3 for their contributions of $500,000 each. This structured allocation demonstrates the confidence and commitment of these leading firms in API3’s vision and their role in advancing the project.
To ensure a strong and lasting partnership, the tokens distributed in this round are subject to a 12-month linear unlock schedule after a 6-month cliff. This means that half of the tokens will become available six months after funding, with the rest gradually released over the next six months. This lockup period is strategically designed to align the interests of API3 and its new investors, promoting stability and long-term value creation.
This financial boost will empower API3 to redefine the oracle landscape by developing a comprehensive oracle stack, expanding its services like protection protocols against Oracle Extractable Value (OEV), and supporting the foundational elements of a global on-chain financial system. The collaboration with reputable financial and tech partners through this funding round positions API3 for accelerated growth and continuous innovation in the rapidly evolving blockchain and DeFi sectors.
With the successful completion of this funding round, API3 is better positioned to pursue its developmental goals, expand its technological offerings, and solidify its role as a key player in the blockchain infrastructure realm. The partnership with prominent entities like DWF Labs, Spartan Group, Laser Digital, and Caladan underscores the project’s potential and strategic direction, setting the stage for its next phase of growth and its contribution to the broader blockchain ecosystem.