The $6 million seed round was co-led by ParaFi Capital, White Star Capital, and Shima Capital, with participation from Beco Capital, LedgerPrime, Saison Capital, and Infinity Ventures Crypto, the startup announced on Twitter. Prior to the recent funding round, Thala Labs already raised $12 million from Andreessen Horowitz and other VCs in May 2022.
“At Thala, we are focused on building scalable, decentralized, and innovative DeFi primitives first for Aptos,” Thala Labs founder Adam Cader said in a statement quoted by The Block. “This fundraise validates our internal vision, the excitement around Aptos, and more broadly, the innovative Move programming language.”
Currently, Thala Labs is focused on building an over-collateralized, decentralized stablecoin called Move Dollar (MOD) that will become the backbone of the Aptos DeFi ecosystem. MOD aims to solve a decentralized stablecoin trilemma of peg stability, security, and capital efficiency.
“This will be accomplished through monetary policy levers such as dynamic interest rates, collateralization, capital optimization by mobilizing collateral, and a business development strategy focused on meaningful integrations and long-term liquidity,” Thala Labs stated on its Medium blog.