Home Blockchain Indian crypto entrepreneur’s blockchain business seeks seed funding at $200m valuation – TechCrunch

Indian crypto entrepreneur’s blockchain business seeks seed funding at $200m valuation – TechCrunch

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Indian crypto entrepreneur’s blockchain business seeks seed funding at $200m valuation – TechCrunch

Nischal Shetty, co-founder of Indian crypto exchange WazirX, is at an advanced stage of talks to raise a first round of funding for his new venture, sources familiar with the matter told TechCrunch.

Shetty is raising $20-30 million in a seed funding round for her blockchain startup Shardeum, sources said, requesting anonymity as deliberations are ongoing and private. The funding round proposes to value the startup at around $200 million, the sources added.

Spartan Group, Struck Crypto, Big Brain Holdings and Cogitent Ventures are among the investors committing to participate in the round, the sources said.

Shetty confirmed the startup was in talks to raise funds, but said the round wasn’t over.

“We are currently working with top VCs as part of an ongoing funding round. Although not closed yet, we expect to see great support for Shardeum and our mission to make blockchain technology faster, smarter and easier to use for everyone,” he said. in a statement through a spokesperson.

“We look forward to sharing more details about how we are working to accelerate the expansion of our team and accelerate Web3 adoption for developers and their users.”

Shardeum tries to solve the trilemma affecting most blockchains where they have to prioritize scalability, security, and decentralization, but at best they can only choose two of these attributes.

Shardeum uses a technique called sharding that partitions the network into shards, resulting in more transactions being processed, verified and validated in parallel, the startup explained in an investor deck, reviewed by TechCrunch.

The startup’s eponymous blockchain, which is currently in testnet, aims to be EVM-ready and use proof-of-stake and proof-of-quorum consensus mechanisms to reduce the cost of running the network and rely on three types of nodes – validator, archiver and watchdog – in his network, he said in the game of investors.

Shardeum projects that it will be able to process over 100,000 transactions per second with 100,000 nodes and maintain a latency of 10 seconds, it said in the bridge. The L1 blockchain will also provide ways to help Ethereum developers transition to Shardeum and keep gas fees stable, he said.

The startup plans to initially target Indian and emerging markets, according to two sources familiar with the matter. It aims to complete the mainnet launch in the quarter beginning in October and launch over 500 million SHM tokens, it said in the bridge.

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