Rollups platform AltLayer has successfully raised $14.4 million in a strategic funding round co-managed by Polychain Capital and Hack VC. According to the announcement made on February 19, the round completed in September 2023 also saw participation from OKX Ventures, HashKey Capital, Bankless Ventures, Primitive Ventures, SevenX, Mask Network, IOSG, and TRGC.
Significant Steps from the AltLayer Team
According to the team’s statement, the capital will be used to expand the AltLayer team and further develop the rollup infrastructure. AltLayer did not disclose the valuation involved in this investment round.
This notable increase comes after AltLayer launched its native token last month and rewarded users who invested in Celestia and EigenLayer, owners of NFTs released by AltLayer, and participants in community campaigns. Approximately 300 million ALT tokens, which is 3% of the total supply and valued at around $141 million, constituted the first airdrop event, with 83% of the tokens claimed.
Noteworthy Details for AltLayer
AltLayer stands out as a decentralized protocol that allows developers to create rollups from software stacks such as OP Stack, Arbitrum, and Polygon CDK, and is defined as rollup as a service. The project also plans to introduce what is known as restaked rollups, Layer-2 projects that leverage EigenLayer’s reconstruction mechanism to bootstrap network security. Luke Pearson, General Partner at Polychain Capital, commented on the firm’s investment in AltLayer:
“AltLayer is conducting new research and development that inspires us to think about how much we can scale with the right tools.”
The team also aims to recreate the restaked rollups framework beyond Ethereum by leveraging Bitcoin in collaboration with Babylon to secure external networks. ALT token holders will participate in the project’s governance, and network participants will need to use tokens to pay protocol fees. According to CoinGecko data, the token is currently trading at $0.47 with a fully diluted valuation of $4.7 billion.
AltLayer had previously raised $7.2 million in a seed funding round co-managed by Polychain Capital, Jump Crypto, and Breyer Capital.
