Biconomy raises $9 Million to simplify blockchain transactions
Biconomy, a blockchain transaction platform, has announced a private funding raise of $9 million to expand and upgrade its platform that focuses on simplifying Web 3.0 by improving the transaction experience in this layer.
The funding round was led by DACM and Mechanism Capital along with other investors like Coinbase Ventures, CoinFund, and others. The new funding is expected to be used by the company to scale its products and also grow its infrastructure.
“The plethora of bottlenecks of Web3.0 transactions, such as gas fees, ETH-only payments, complicated onboarding processes, and fragmented L2s along with a booming multichain ecosystem emerging have created major challenges for blockchain adoption,” said Ahmed Al-Balaghi, CEO of Biconomy. “If we are able to solve even a fraction of those challenges, we believe we will be able to onboard the next billion users into the DeFi and broader web3.0 ecosystem.”
The main use case for Biconomy is that it tries and simplifies the interaction between the user and Web 3.0 applications. User adoption has been low so far due to the fact that it is not user-friendly and users also have confusing transaction experiences. Biconomy tries to solve this problem by facilitating easy access to decentralised blockchain transactions and also create seamless multi-chain interactions.
“Biconomy’s powerful plug and play SDK and APIs enable developers to offer a convenient Web3.0 experience removing many of the friction points users are currently facing,” said Andrew Kang, Managing Partner at Mechanism Capital. “They are abstracting away blockchain complexities for applications end-users which drastically helps to reduce drop-off rates and increase user retention.”
The company has raised $10.5 million so far and reports that it has processed over 3.6 million transactions on the mainnet and a transaction volume of over $572 million. The company expects to grow exponentially in the coming months with this funding. It also plans to launch its own native token to help secure the network and also enable community governance in due course of time.
The blockchain industry does need a lot of disruption to take it to the mainstream users and it is likely that the time is now. Various teams and developers have built out a solid infrastructure that will ensure that the ecosystem stays strong even when something wrong happens and now that this foundation has been well laid out, it is time to take it to the mainstream users and bring in adoption.
