Biconomy, a blockchain transaction platform with Indian founders, announced on Thursday that it has raised $9 million in a private funding round led by DACM and Mechanism Capital, with strategic investments from Coinbase, Bain Capital, Coinfund, NFX, True Ventures, Proof Group, Ledgerprime, Primitive Ventures, Genblock, Rarestone Capital, Huobi Innovation Labs, and Capital Partners. The fundraise also includes angel investments from Stani of Aave, Hasu, Stephane Gosselin from Flashbots, Prabhakar Reddy from Falcon X, Arbitrum founders, and more. The completion of this round of financing includes participation from previous investors Woodstock Capital, Eden Block, and Zee Prime.
Biconomy was founded in 2019. To date, it has raised $10.5 million. Biconomy has already processed over 3.6 million main net transactions representing $572 million transaction volume for 30+ live integrations on all major chains. They are also on a trajectory with over 200 dApp integrations in the pipeline.
“The current crypto experience is complicated. Each interaction with a decentralised application is a complicated blockchain transaction that the mainstream users don't understand,” said Aniket Jindal, co-founder of Biconomy. “If we are able to simplify these complexities, we believe we will be able to onboard the next billion users into the crypto ecosystem,” he said.
The core of Biconomy's mission is to facilitate decentralised blockchain interactions and create seamless multi-chain experiences. By enabling use cases such as gasless transactions, gas payments in ERC20 tokens, instant cross-chain transactions and easy onboarding to scaling solutions, Biconomy reduces the friction between blockchain-based applications and end-users.
The new round of funding will enable Biconomy to propel its multi-chain transaction infrastructure for next-generation web 3.0 applications. It will decentralise its relayer network, including making essential technological developments, as well as expand its business ventures putting an emphasis on community growth. Biconomy has dubbed this phase ‘the revolution of Web 3.0 interactions'. Web 3.0 applications face critical roadblocks to user adoption including complex user onboarding and confusing transaction experiences. India has a 4.2+ million-strong developer pool, but only around 19,000 developers are working on blockchain technology. Biconomy brings a much-needed reprieve into the Indian tech ecosystem too, said the company in a statement.
“Biconomy's powerful plug and play SDK and APIs enable developers to offer a convenient Web 3.0 experience removing many of the friction points users are currently facing,” said Andrew Kang, managing partner at Mechanism Capital. “By doing this, they are removing blockchain complexities which drastically helps to reduce drop-off rates and increase user retention”
In addition to new funding, Biconomy is also gearing up to launch its native token $BICO as part of decentralising their multi-chain infrastructure. The native token will secure the network, enable community governance and incentivise all stakeholders. Further details on the token haven't been announced yet.
“By enhancing developer and end-user experiences, Biconomy is paving the way for how blockchain applications are built,” said Adan D'Augelli, partner at True Ventures. “The technology they have created will be a core infrastructure for the future of blockchain-enabled digital economies,” he said.
