With gas fees ridiculously high on Ethereum, DeFi applications have resorted to moving over to a growing list of Ethereum competing blockchains.
This recent trend resulted in Polkadot-based Reef Finance to elicit for funds. The cross-chain platform recently completed its seed funding round during which it raised $3.9 million from investors. Top industry partners, such as AU21 Capital, Woodstock Fund, Kenetic Capital, NGC Ventures, and QCP Capital, participated in the round.
Speaking on the announcement, Reef Finance CEO Denko Manceski pointed out several important challenges the platform was looking to solve. For one, Reef Finance will eliminate the technical barrier investors encounter when trying to dabble in DeFi. He also added that the cross-chain platform will put an end to the current hike in Ethereum gas fees.
Reef Finance’s cross-chain DeFi suite
Manaceski furthermore pointed out that a lot of investors in the DeFi space know next to nothing about this blooming sphere. He said, “They don’t know the names of the projects or how to keep up with the best strategies and stay safe and well-diversified.” In addition, they also have to go through about five completely different websites, featuring different interfaces, to make a successful purchase. These processes turn out to be overwhelming most of the time. This leaves well-intentioned investors demotivated and more likely to make mistakes during a purchase.
Reef Finance is aimed at putting an end to this stressful chain of activities. The cross-chain platform looks to become a one-stop-shop for DeFi services. The platform brings together DeFi services like a yield farming aggregator, global liquidity aggregator, and asset-management product all under the same platform.
Prior to this time, the cross-chain platform has partnered with several Polkadot projects like Plasm and Crust Network. Plans are also in place to incorporate top oracle platforms like Bluzelle and Chainlink.
DeFi applications look to achieve “seamless interoperable movement of assets along the paths of least resistance,” notes Jehan Chu of Kenetic Capital. Reef Finance looks to make this vision a reality, and its recently completed funding round is a step in the right direction to achieving this.