DeFi infrastructure firm Veda announced an $18 million funding round led by CoinFund, with participation from Coinbase Ventures, Animoca Ventures, GSR, Mantle EcoFund, BitGo, Draper Dragon, and other prominent investors. Since its launch in early 2024, Veda has grown rapidly, reaching $3.5 billion in total value locked (TVL) within eight months by simplifying DeFi complexity through its modular vault system.
Veda's vault technology abstracts complex DeFi yield generation, risk management, and cross-chain strategies, allowing integrated platforms such as DeFi protocols, wallets, fintech applications, and exchanges to offer user-friendly experiences without exposing users to the typical complexities of DeFi operations. The solution standardizes yield-bearing activities like staking, restaking, and liquidity provisioning into modular smart contracts that other applications can easily adopt.
Notably, protocols like Ether.fi and Mantle have integrated Veda's vaults as foundational infrastructure rather than competitors. This approach is likened to how AWS serves as an invisible backend for web applications—enhancing scalability and usability across a broader spectrum of financial platforms beyond just crypto-native ecosystems.
Additionally, Veda focuses on enabling yield-bearing stablecoins and cross-chain yield products, addressing a rising demand for dependable Bitcoin yield generation despite its inherent complexities. Partnerships such as one with Lombard support liquid-staked Bitcoin products like cmETH on the Mantle network, further broadening Veda's reach.
The funding reflects growing investor confidence in stablecoin adoption and its transformation into yield-generating assets, which some experts regard as an inevitable step toward making wealth onchain more productive. The rise of yield-bearing stablecoins is seen as a competitive alternative to traditional bank savings and money market accounts, potentially pressuring conventional banking structures to evolve.