Cata Labs, a company building an open-source protocol to provide liquidity between modular blockchains, has secured $4.2m in seed funding.
The name of this company’s product is Catalyst. With Catalyst, any new modular chain can automatically connect liquidity and swap with any chain – including liquidity hubs like Ethereum and Cosmos.
The round was led by Spartan Group, with participation from Robot Ventures, Maven11, Alchemy Ventures, HashKey Capital, Circle Ventures, Superscrypt, among others.
Modular blockchains – a new concept in crypto – are made up of different modules that can be added as needed. Each module performs a specific function, making the blockchain more flexible and adaptable. Modular blockchains can help increase the scalability and customisation of blockchain networks.
Catalyst claims it is changing this, offering an automatic cross-chain connection for modular chains at launch – dissolving the barriers between chains as the global liquidity layer.
Cata Labs co-founder Alexander Lindgren said, “The modular blockchain thesis makes it easier to create a lightweight and configurable blockchain, which leads to a proliferation of new chains. In this world, we need to build scalable infrastructure that allows for these chains to connect and transfer value between one another.
“Catalyst is built from the ground-up with that intention in mind: connecting the modular future easily and automatically. It’s an evolution of the DeFi primitives that came before it.”
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