Delta One, a Solana-based decentralised finance (DeFi) protocol for yield generation, has raised $9.1 million in a seed round as it looks to expand its ecosystem.
The round was led by Alameda Research and Ship Capital, the protocol said in a press announcement. Delta One also attracted investment from Solana Ventures, Raj Gokal (the co-founder of Solana), investment firm Electric Capital and early stage venture fund AlleyCorp.
Others to participate were Alfred Chuang and Chris McCann, the co-founders of Race Capital.
Delta One eyes ecosystem growth
According to Delta One, the funding round is set to help its team handle the protocol’s core development. The platform also eyes further ecosystem growth, with the main focus being the integration of projects targeting Delta One’s product offering.
The team will also seek to build out its user-friendly structured products. It seeks to have its automated yield farming strategy “delta neutral” available to over 100,000 participants on a waitlist going back to October 2021.
The delta-neutral yield generation strategy allows for high risk-adjusted yield, with virtually no active management from the user’s side. The strategy saves users the would-be hours needed to “crunch numbers and track positions.”
“Delta-neutral farming is a technique that many hedge funds love to use, but it can require spending hours each day crunching numbers and tracking positions when done manually by retail investors,” said DJ Sengh, co-founder of Delta One.
It’s a protocol offering that Delta One hopes can be the foundation of further expansion in the DeFi ecosystem.
“We believe democratizing these strategies through structured products will be a pivotal part of onboarding the first billion users into DeFi,” Sengh added.
As part of its expansion, Delta One is looking to team up with other projects on ventures around lending markets and reserve currencies. The platform is also eyeing partnerships with teams that can help it build sustainable liquidity.
Started in 2021 as part of the Solana Ignition Hackathon, Delta One’s growth over the past half year has been immense. It’s now among the most highly anticipated projects in the Solana ecosystem.