Interlay, a Bitcoin (BTC) interoperability project that first launched on Polkadot, has concluded a $3 million seed round to further develop its flagship decentralized finance product, marking another important capital raise in the blockchain industry.
The funding will go towards supporting Interlay’s interBTC platform, which allows users to invest, earn and pay with Bitcoin on any blockchain. Originally commissioned for Polkadot, interBTC will expand to other blockchains including Ethereum (ETH) and Cosmos.
As Cointelegraph reported, Interlay began building its Bitcoin bridge in early 2020 after receiving a grant from Web3 Foundation, a technology steward for the decentralized web.
Interlay claims that its interBTC product is fully backed by Bitcoin at a ratio of one-to-one. The Bitcoin reserves are locked in collateralized vaults, which means anyone can mint interBTC by locking their Bitcoin or run their own vault. The product is said to be “secured by insurance,” which means users can exit back to Bitcoin any time they want.
The seed round