Cross-chain decentralized exchange zkLink raises $8.5 million in seed funding

DEX • October 22, 2021, 11:11AM EDT
  The Block

zkLink, a cross-chain decentralized exchange that utilizes zero-knowledge rollups (zk-rollups) technology, has raised $8.5 million in a seed funding round.

Republic Crypto led the round, with Arrington Capital, DeFi Alliance, Huobi Ventures, Ascensive Assets, Morningstar Ventures, GSR, and Marshland Capital also participating.

With fresh capital at hand, zkLink plans to expand its team, launch its mainnet later this year, and support additional features on the platform.

zkLink is currently available in testnet and offers a cross-chain token swap facility across Ethereum, Binance Smart Chain, Polygon, and Huobi Eco Chain. It plans to add support for more blockchains and also offer cross-chain farming and staking facility. That will allow users to provide liquidity on the platform and earn yields.

zkLink raised the seed funding via a Simple Agreement for Future Tokens (SAFT), co-founder Vincent Yang told The Block. The project plans to raise more funds after the mainnet launch via a public token sale, he said.

Cross-chain and interoperability protocols are gaining attention from the venture capital space. In recent months, such projects, including Connext and ThorSwap, have raised funds.

“As the DeFi space continues to grow, improving the user experience and enabling interoperability for asset trades is a must,” said Qiao Wang, partner at DeFi Alliance. “zkLink is well-positioned to tackle these problems head-on and create a more easily accessible and efficient DeFi ecosystem for all."