BounceBit Innovative Bitcoin Restaking Draws $6M Investment

BounceBit led the $6 million seed round, used to launch it’s Bitcoin restaking infrastructure, with Blockchain Capital and Breyer Capital as co-leaders.

Blockchain Capital and Breyer Capital co-led a $6 million seed round that BounceBit used to launch its Bitcoin restaking infrastructure, which incorporates restaked assets into its validation semantics and uses the idea of Shared Security Clients (SSC).

Over twenty Web3 venture capital firms took part in the financing, including ao5, CMS Holdings, Bankless Ventures, NGC Ventures, Matrixport, IDG Capital, Nomad Capital, OKX Ventures, HTX Ventures, DeFiance Capital, and many more.

One group of angel investors included Nathan from Anchorage Digital, Calvin and Jessy from Eigenlayer, Kevin and Ashwin from Brevan Howard, and Smokey from Berachain.

The firm intends to utilize the new funds to speed up the development of its Bitcoin staking infrastructure, according to a blog post published by BounceBit. The announcement is timed to coincide with the rising popularity of crypto restaking technologies.

The Ethereum restaking protocol EigenLayer received a $100 million investment from Andreessen Horowitz (A16z) last week. On Wednesday, Ether.fi said that its ETH restaking protocol had received $27 million in two investment rounds.

Thanks to crypto restaking protocols, token holders in an ecosystem can earn more benefits by restaking in other protocols and apps.

The statement states that BounceBit’s principal restaking asset is BTCB on the BNB Chain. This fits in with the protocol’s idea of increasing the potential of the BTC asset class.

Ted Breyer, Partner at Breyer Capital, expressed his excitement in leading the seed round for BounceBit, since the company is pioneering BTC staking and yield creation.

According to Aleks Larsen, General Partner at Blockchain Capital, “we’re excited to back BounceBit as they lead the charge.” Larsen continued by saying, “There is a huge opportunity to bring DeFi and other innovations to the Bitcoin community through BTC restaking.”

The basic idea behind BounceBit’s innovations is Shared Security Clients, which allow the company to take advantage of aggregated security by including restaked assets into validation semantics. The business is committed to investigating more restaking application cases for the vast Bitcoin asset class.

A Mainnet launch is expected for April, corresponding with the Bitcoin Halving, and the current roadmap is preparing for the Testnet debut on March 8.

Jack Lu, BounceBit’s founder and CEO, was overjoyed by the seed round backers his company had. “Their knowledge and assistance will play a crucial role in our endeavor to construct restaking infrastructure that can facilitate yield generation for all varieties of Bitcoin on different networks,” Lu stated.

Just three weeks after the early access launch, the company announced that it had already hit a TVL of $445 million.