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News

DeFi Protocol Archimedes Raises $4.9 Million In Seed Raise, Led by Hack VC

February 2, 2023 - Around 2 mins mins to read

Key Points:

  • Archimedes’ total fundraising now stands at $7.3 million, including a $2.4 million pre-seed round led by Shima Capital in March of last year.
  • According to the release, the protocol is still under development and will be launched this month.
  • lvUSD is native stablecoin, and ARCH is its native token.
Archimedes, a decentralized lending and borrowing mechanism centred on leverage, has raised $4.9 million in preliminary funding.
DeFi Protocol Archimedes Raises $4.9 Million In Seed Raise, Led by Hack VC

Archimedes stated Wednesday that Hack VC led the investment, with participation from Uncorrelated Ventures, Truffle Ventures, Haven VC, and others. It’s total fundraising now stands at $7.3 million, including a $2.4 million pre-seed round led by Shima Capital in March of last year.

The firm claims that once deployed, the protocol would allow lenders or liquidity providers to earn sustainable higher returns, while borrowers or leverage takers can earn up to 10x the yield offered by other yield-bearing stablecoins.

Archimedes throws an extra screw into the equation which multiplies a user’s original yield opportunity, leverage takers that use Archimedes are sent an NFT which represents a yield-generating stablecoin position that has been leveraged at up to 10 times the principal collateral amount.

said in the announcement

Oz Rabinovitch, Tomer Mayara, and Derek Moen, who call themselves “g(r)eeks,” created Archimedes last year. According to the release, the protocol is still under development and will be launched this month.

DeFi Protocol Archimedes Raises $4.9 Million In Seed Raise, Led by Hack VC

Additionally, Borrowers will have to pay a fee to gain access to leverage. They will also pay a performance fee on their leverage position proceeds. It is then able to close the loop and reimburse the lenders for lending their money thanks to the fees paid by the borrowers. All parties involved benefit: lenders, borrowers, Archimedes Finance, and Origin Protocol (or any future partners).

For those unaware, Leverage is an existing financial strategy that is made easier with technology. The practice entails borrowing a certain amount of money at a certain cost and investing it for a return that is higher than the cost of borrowing.

lvUSD is Archimedes’ native stablecoin, and ARCH is its native token.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Thana

Coincu News

Archimedes

DeFi Protocol

Hack VC

Haven VC

Oz Rabinovitch

Truffle Ventures

Uncorrelated Ventures

Avatar of Thana

Author

Thana

I am a news editor at Coincu, where I produce daily editorial packages and manage the knowledge and review article sections. Before journalism, I earned a Bachelor's degree in Global Logistics and Supply Chain Management from Northampton University and studied news journalism at Press Association Training.
News

DeFi Protocol Archimedes Raises $4.9 Million In Seed Raise, Led by Hack VC

Key Points:

  • Archimedes’ total fundraising now stands at $7.3 million, including a $2.4 million pre-seed round led by Shima Capital in March of last year.
  • According to the release, the protocol is still under development and will be launched this month.
  • lvUSD is native stablecoin, and ARCH is its native token.
Archimedes, a decentralized lending and borrowing mechanism centred on leverage, has raised $4.9 million in preliminary funding.
DeFi Protocol Archimedes Raises $4.9 Million In Seed Raise, Led by Hack VC

Archimedes stated Wednesday that Hack VC led the investment, with participation from Uncorrelated Ventures, Truffle Ventures, Haven VC, and others. It’s total fundraising now stands at $7.3 million, including a $2.4 million pre-seed round led by Shima Capital in March of last year.

The firm claims that once deployed, the protocol would allow lenders or liquidity providers to earn sustainable higher returns, while borrowers or leverage takers can earn up to 10x the yield offered by other yield-bearing stablecoins.

Archimedes throws an extra screw into the equation which multiplies a user’s original yield opportunity, leverage takers that use Archimedes are sent an NFT which represents a yield-generating stablecoin position that has been leveraged at up to 10 times the principal collateral amount.

said in the announcement

Oz Rabinovitch, Tomer Mayara, and Derek Moen, who call themselves “g(r)eeks,” created Archimedes last year. According to the release, the protocol is still under development and will be launched this month.

DeFi Protocol Archimedes Raises $4.9 Million In Seed Raise, Led by Hack VC

Additionally, Borrowers will have to pay a fee to gain access to leverage. They will also pay a performance fee on their leverage position proceeds. It is then able to close the loop and reimburse the lenders for lending their money thanks to the fees paid by the borrowers. All parties involved benefit: lenders, borrowers, Archimedes Finance, and Origin Protocol (or any future partners).

For those unaware, Leverage is an existing financial strategy that is made easier with technology. The practice entails borrowing a certain amount of money at a certain cost and investing it for a return that is higher than the cost of borrowing.

lvUSD is Archimedes’ native stablecoin, and ARCH is its native token.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Thana

Coincu News

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