Orca and Loopscale have officially merged to create Formation, a new financial services entity focused on strengthening Solana’s decentralized finance landscape and expanding into tokenized asset markets. The announcement combines Orca’s liquidity infrastructure with Loopscale’s lending and credit services under a single platform led by Loopscale co-founder Luke Truitt as CEO.
According to the merger details, Orca has processed more than $550 billion in trading volume since 2021, while Loopscale has accumulated over $150 million in deposits and facilitated more than $2 billion in loans since April 2025. Both protocols will remain operational and are positioned as the foundation for the ORCA and xORCA token network.
Formation intends to integrate capabilities across asset origination, financing, liquidity management, and distribution. The company is targeting sectors such as artificial intelligence, energy, robotics, and defense, where capital requirements are substantial. Apollo estimates AI infrastructure alone will require nearly $3 trillion in capital through 2028.
To support tokenized asset distribution, Formation is partnering with Figure, Securitize, R3, Shinhan Asset Management, and Superstate. Figure has originated more than $30 billion in onchain credit and expanded tokenized products beyond $650 million in DeFi. Orca Chief Strategy and Legal Officer Christopher Montagano said combining the platforms would connect asset launches with financing opportunities and broader market access.
Over the next 12 months, Formation plans to introduce issuer tools and capital allocation strategies, while expanding into regulated United States capital markets. Traders will likely watch whether the new entity can attract liquidity and user engagement, potentially boosting sentiment across Solana’s DeFi ecosystem.
