Donut Labs Raises $22 Million to Develop AI-Powered Crypto Trading Browser

03.11.2025 21:25 2 sources positive
SOL SOL $138.70 +4.30%
SUI SUI $1.63 +2.95%
JUP JUP $0.23 +4.36%
DRIFT
PYTH

New York-based startup Donut Labs has secured $22 million across pre-seed and seed funding rounds to build what it claims is the world's first agentic AI browser designed specifically for cryptocurrency trading. The funding was led by prominent investors including Bitkraft Ventures, Sequoia China, Sky9 Ventures, Matrix Partners, Makers Fund, and Altos Ventures, with additional support from industry leaders associated with Solana, Sui, Monad, Jupiter, and Drift.

Founded just six months ago by CEO Chris Zhu, Donut Labs aims to redefine how traders interact with the financial internet. Zhu explained that the idea emerged from frustration with existing platforms after his team's TikTok-based app was shut down. "Browsers haven't really changed in 30 years," Zhu told Decrypt. "We wanted to build the largest front end on the internet—but do that for crypto." The Donut browser integrates automation, market analysis, and security, allowing it to research, analyze, and execute trades autonomously across exchanges.

The browser uses an open router system that dynamically selects AI models for tasks ranging from simple token swaps to complex analysis, drawing liquidity and pricing data from sources like CoinGecko and Pyth. Security is modeled on Tesla's self-driving software, with layered authorization levels to prevent prompt injection attacks. Donut processes transactions on the backend and partners with key management firm Turnkey to safeguard private keys, ensuring agents never access user balances directly.

Demand for the browser is high, with over 160,000 traders on waitlists in the first quarter. Donut Labs plans to release a full suite of products, including a standalone browser, Chrome extension, web app, and mobile app, to cover the entire trading lifecycle. The development capitalizes on DeFi growth, where DEX daily on-chain spot volume exceeds $20 billion, and on-chain perpetuals trading hit over $1 trillion monthly in September 2025.

Zhu emphasized that AI browsers will enhance, not replace, human traders by providing personalized context and leveling the playing field. "Over a long enough time horizon, we do want to get to the point where it's just me, myself, and my hundred quants," he said, highlighting the potential for unique, individualized strategies.

SOL SOL $138.70 +4.30%
Strong positive fundamental catalyst with $22M funding for AI trading browser backed by major VCs including Solana ecosystem leaders. This signals institutional confidence and potential adoption boost for Solana infrastructure. However, technicals show severe oversold conditions with RSI at 22-27 across timeframes, suggesting near-term volatility. Short-term bounce likely from oversold levels, but sustained recovery depends on broader market sentiment. Long-term bullish for ecosystem development.
Technical analysis
Severely oversold with RSI 22-27 across timeframes, strong downtrend momentum (MACD negative), and price below all EMAs. Technicals suggest potential short-term bounce from extreme oversold conditions despite bearish structure.
SUI SUI $1.63 +2.95%
Strong positive fundamental catalyst with Donut Labs' $22M funding round featuring SUI ecosystem support from prominent VCs. This signals institutional validation and potential increased adoption through AI trading integration. However, technicals show oversold conditions with RSI at 26-33 across timeframes, suggesting near-term volatility. Long-term outlook bullish due to ecosystem growth, but short-term may see consolidation before sustained upward movement.
Technical analysis
Strong bearish momentum with RSI deeply oversold (26-33), MACD negative across timeframes, and price below all EMAs. ADX above 40 confirms strong downtrend. Contradicts bullish news, suggesting technical recovery needed first.
JUP JUP $0.23 +4.36%
Strong positive fundamental catalyst from Donut Labs' $22M funding round with Jupiter ecosystem involvement. The AI trading browser partnership signals enhanced utility and adoption for JUP, driving long-term value. However, current technical weakness suggests initial muted reaction. Short-term consolidation likely before fundamental benefits materialize over 1-3 months as the browser gains traction among 160K waitlisted traders.
Technical analysis
Strong bearish momentum confirmed by RSI oversold (30-34), price below all EMAs, and negative MACD across timeframes. Volume below average suggests weak buying interest despite oversold conditions.
DRIFT
Strong positive fundamental catalyst with $22M funding led by top-tier VCs including Sequoia China and Bitkraft. DRIFT is explicitly mentioned as a key partner, signaling institutional validation and potential integration benefits. The AI trading browser's 160K waitlist indicates substantial market demand. However, technicals show oversold conditions with RSI at 26 (1h) and strong downtrend momentum. Short-term likely sees relief rally from oversold levels, while long-term adoption prospects remain bullish if integration materializes.
Technical analysis
Strongly oversold (RSI 26 on 1h, 25 on 4h) with ADX >48 confirming downtrend strength. Volume below 20-period average suggests weak participation. MACD negative across timeframes. Technicals contradict bullish news, indicating oversold bounce potential.
PYTH
Strong positive fundamental catalyst from Donut Labs' $22M funding round with major VC backing including Sequoia China and Bitkraft Ventures. The AI trading browser explicitly sources data from Pyth Network, creating direct utility and adoption demand. With 160K+ traders on waitlists, this represents significant ecosystem growth potential. However, current technical weakness may delay full price appreciation until market sentiment improves. Long-term bullish on increased oracle usage and trading volume.
Technical analysis
Strong bearish momentum confirmed across timeframes: RSI deeply oversold (27-33), ADX high (37-45) indicating strong downtrend, price below all EMAs. Volume below 20-period average suggests lack of buying interest despite oversold conditions.
Sources
AI Browsers Are Headed to Crypto—Donut Labs Just Raised $22 Million to Build It First
Decrypt 03.11.2025 21:00
Donut Labs raises $22 million to launch AI-powered trading browser
cryptopolitan.com 03.11.2025 14:20
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