Solana-Powered Derivatives Primitive Hxro Closes $34 Million Round Backed by Jump Crypto, Blockchain Capital

Jump Crypto, Blockchain Capital, Alameda Research and Coinbase Ventures, are among marquee investors supporting Hxro’s strategic round.

article-image

Blockworks Exclusive Art by Axel Rangel

share

key takeaways

  • Hxro’s protocol allows market makers, traders, and other network participants to access what it calls “globally aggregated liquidity”
  • $34 million strategic round follows $15 million HXRO token deal from earlier this year which had the backing of fund managers Alan Howard and Louis Bacon

Hxro, a derivatives primitive built on the Solana blockchain, announced today that it had closed a $34 million strategic round led by Jump Crypto, Blockchain Capital and SIG DT Investments.

Financial primitives refers to protocols that allow for the use of liquidity, leverage, risk, and arbitrage in the broader crypto ecosystem. For DeFi protocols to function properly, they need to incorporate these four primitives in some way, which has led to interest from investors in maturing this underlying infrastructure.

Earlier this year liquidity primitive 0x protocol raised $15 million in a round led by Pantera Capital while fixed rate protocol Element Finance closed a $32 million round in October. 

“Investors are beginning to understand the impact open source financial primitives [the software building blocks of DeFi] can have on the financial market,” Clay Robbins, head of growth at 0x, told Blockworks in an earlier interview. 

In a release, Hxro explained that its protocol allows for market makers, traders, and other network participants to access “globally aggregated liquidity” while combining the risk, margining, clearing, and capital efficiencies of centralized derivatives on Solana. 

“The notional size of incumbent derivatives markets is still many times that of what is available in DeFi. The mission of Hxro Network is to change that in a way where all market participants, no matter the size of their contribution and participation, can benefit,” Dan Gunsberg, Co-Founder of Hxro Network, said in a release.

“As a community, we are creating a very powerful foundation for decentralized derivatives to scale and become a significant part of the fabric of the global derivatives landscape.”

In a release, Hxro said it will utilize a unique staking protocol to facilitate network governance, liquidity incentives, and rewards. The network’s value will largely derive from transaction fees generated within the network

Hxro said that it plans on launching its v1 network on the Solana mainnet in December, with more development work occurring during the first quarter of next year.


Get the day’s top crypto news and insights delivered to your inbox every evening. Subscribe to Blockworks’ free newsletter now.


Tags

Upcoming Events

Salt Lake City, UT

MON - TUES, OCT. 7 - 8, 2024

Blockworks and Bankless in collaboration with buidlbox are excited to announce the second installment of the Permissionless Hackathon – taking place October 7-8 in Salt Lake City, Utah. We’ve partnered with buidlbox to bring together the brightest minds in crypto for […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Research Report Templates.png

Research

ZKPs enable efficient offchain transaction processing and validation, resulting in increased throughput and reduced fees. Solana's ZK Compression leverages ZKPs to minimize onchain storage costs, while Sui's zkLogin streamlines user onboarding by replacing complex key management with familiar OAuth credentials.

article-image

The crypto asset manager lowered its planned fee from 0.25% to 0.15%, undercutting its competitors

article-image

Plus, a look at planned ETH ETF fees and how they differ from their BTC counterparts

article-image

North Korea suspected in breach of Indian exchange’s multisig wallet

article-image

Plus, Sanctum’s CLOUD token has officially launched — but not without problems

article-image

It’s not yet clear whether Donald Trump is pumping bitcoin. But an unofficial memecoin is still seeing benefit.