Analog Raises $16 Million for Cross-Chain Development

Analog, a Web3 platform, has secured a $16 million fund to enhance it’s developer tools for cross-chain touch, boosting valuation to $120 million.

Analog, a Web3 platform, has raised $16 million to improve its developer tools for cross-chain communication. The financing brings the startup’s valuation up to $120 million when adjusted for fully diluted shares.

Near, Wintermute, Orange DAO, Benqi Finance, and Quantstamp are among the crypto initiatives and Web3 funds that are contributing to the round. Tribe Capital, Alumni Ventures, and NGC Ventures are among the other VC firms that have chipped in, as have former Coinbase executive Balaji Srinivasan and Samara Asset Group, the family office of Mike Novogratz.

Victor Young and Sanchal Ranjan established Analog in 2021. Young noticed a requirement for cross-chain data triggers for smart contract execution while working on algorithmic trading bots. The founder informed the media that the idea of Analog was developed out of a growing need for cross-chain interoperability.

Moonbeam and Enjin are Polkadot ecosystem initiatives, whereas Cosmos and Chainlink are cross-chain projects. The startup’s crew has worked on all of these projects before. In order to facilitate data querying from smart contracts across several blockchain networks, the team is now working on a developer-facing product on Analog.

As an example of how the solution can streamline the process of pulling and analyzing on-chain data, Young explained that in order to provide users with the best routes and an accurate price discovery mechanism, a cross-chain DEX aggregator would have to pull data for each specified pair across different chains.

To facilitate asset transfers, automated market makers, decentralized exchanges, nonfungible tokens, and general message passing, Analog is also releasing a software development kit.

As Web3 quickly becomes multichained, solutions for cross-chain interactions are expanding. Both LayerZero and Axelar are cross-chain technology projects that are trying to find ways to make networks talk to each other.

Instead of depending on third parties like Oracles, Analog differentiates itself by concentrating on cross-chain development features integrated into a single toolkit. According to Young, the company is shifting its focus to developers and is actively trying to showcase the product’s reach across a wider range of sectors.