Satoshi Protocol, a stablecoin protocol backed by Bitcoin (BTC), raised $2 million in a seed funding round led by CMS Holdings and RockTree Capital. The funds will enhance network security and expand integration with Layer-2 solutions, driving traction in the ecosystem.
The protocol enables Bitcoin holders to use their coins as collateral to mint the native SAT stablecoin. This fresh capital injection will help Satoshi Protocol reach its market and development goals.
Satoshi Protocol integrates with several Bitcoin protocols, including Bitlayer, BEVM, Omni Network, and Core Chain. It recently collaborated with Binance’s Web3 Wallet Campaign, reaching over 172,000 users.
Satoshi Protocol’s Stablecoin Integration
Satoshi Protocol co-founder and CEO Naka stated that the funding round is a significant boost. He mentioned it’s a step towards creating “a universal stablecoin that meets the needs of Bitcoin users.”
The protocol allows users to mint SAT stablecoins using BTC and liquid staking tokens (LST) as collateral. This feature is accessible on both the Bitcoin mainnet and Layer-2 networks.
“Satoshi Protocol’s approach to integrating stablecoins is a real leap forward within the Bitcoin ecosystem,” said Vineet Budki, managing partner at Cypher Capital. Budki added that this L2 development has enhanced liquidity options for BTC holders.
Besides Cypher Capital and RockTree, the seed round witnessed participation from Metalpha, Optic Capital, Side Door Ventures, and Outliers Fund, along with notable angel investors.
