BitVault, a decentralized finance protocol, has announced the closure of a $2 million pre-seed funding round aimed at launching a new BTC-backed stablecoin.
Successful Funding Round
BitVault has raised $2 million in a pre-seed funding round from strategic investors including GSR, Gemini, Auros, and Keyrock. These companies have joined BitVault in its mission to create the 'next era of BTC-backed money' as an alternative to fiat-pegged stablecoins.
Introduction of BTC-Backed Stablecoin bvUSD
The funding will support the launch of bvUSD, an overcollateralized stablecoin backed by Bitcoin derivatives, and sbvUSD, its yield-bearing variant powered by institutional trading strategies from GSR. Only whitelisted institutional borrowers will be able to mint bvUSD in bulk.
Development and Future of BitVault
BitVault is a licensed fork of Liquity V2, re-engineered for institutional use. The protocol plans to launch its VCRAFT token to govern future parameters. Alongside the launch on Katana, BitVault aims to become the central hub of a liquidity and settlement network on the EVM chain.
BitVault is scheduled for mainnet deployment on Katana in June 2025, as the team continues to expand its stablecoin offerings and actively onboard institutional borrowers.
