The Thorchain ecosystem continues to grow, despite the 2 attacks the blockchain was targeted in late July. Indeed, the decentralized exchange platform ThorSwap has just raised several million dollars to finance its development.
A 7-figure fundraising
ThorSwap is a decentralized exchange platform, developed on Thorchain, a cross-chain liquidity protocol. It allows its users to exchange tokens from about 20 different blockchains, such as Ethereum, Bitcoin or the Binance Smart Chain (BSC), in a fully decentralized way.
ThorSwap has just finalized a $3.75 million funding round led by IDEO CoLab Ventures, alongside other participants such as True Ventures, Sanctor Capital, 0xVentures or Qi Capital.
This freshly raised capital will allow ThorSwap to improve its platform as well as to conduct audits, according to information reported to our colleagues of The Block by the pseudonymous developer Cloudpleasr. Following this fundraising, ThorSwap aims to become the leading cross-chain aggregator in the DeFi ecosystem.
“The future of cross-chain is inevitable, and THORSwap is well positioned to push the boundaries of DeFi.”Gavin McDermott, investor at IDEO CoLab Ventures
In practice, the sale was conducted as a private round of token sales. In short, investors will be rewarded in the platform’s native token.
Seduced investors, dilapidated security
As we have just seen, the funds will be used, among other things, to conduct code audits. ThorSwap is thus one of those protocols that, despite having been launched more than 6 months ago, still does not have a full audit of its contracts.
A situation that has already caused problems to the mother project, ThorChain, which was attacked twice at the end of the summer.
Indeed, on July 16, ThorChain was the target of a first attack resulting in the loss of 5 million dollars, followed by a second attack on July 26, in the amount of 8 million dollars.
Once again, the contracts exploited had not been actively audited and, as a result, were flawed.
More recently, the DeFi Cream Finance protocol was the target of a $25 million attack. Fortunately, information provided by the community helped to contact the attacker. The attacker agreed to return the funds, with a reward of 10% of the loot.