Closes $16M Support for Analog Chain Cross-Communication Equipment
The Web3 platform has received $16 million in funding to advance its cross-chain communication tools to developers. With the round, the startup is valued at $120 million on a fully diluted basis.
A number of crypto projects and Web3 funds backed the round, including Near, Wintermute, Orange DAO, Benqi Finance and Quantstamp. Other participants in the funding include venture capital firms Tribe Capital, Alumni Ventures and NGC Ventures, along with former Coinbase executive Balaji Srinivasan and Mike Novogratz's family office, Samara Property Group.
Analog was founded in 2021 by Victor Yang and Sanchal Ranjan. While working on algorithmic trading bots, Yang saw the need for cross-chain data triggers for smart contract execution. “Along with the growing awareness of the importance of cross-chain interoperability across the board, the idea of Analogue was born,” the founder told Cointelegraph.
The startup team has previously worked on projects from the Polkadot ecosystem, such as Moonbeam and Engine, and cross-chain ecosystems including Cosmos and Chainlink. At Analogue, the team is now building a developer-facing product that can query data from smart contracts across various blockchain networks.
For example, cross-chain DEX [decentralized exchange] An aggregator needs to pull data on multiple DEXs on multiple chains for each specified pair to provide users with the best routes and accurate price discovery.” Yang explained how the solution simplifies the extraction and analysis of on-chain data.
Analogue is introducing a software development kit for general messaging, blockchain for asset transfers, automated market makers, decentralized exchanges and intangible tokens.
As more layer 1 and layer 2 roll out, the need for the integration of these systems will become even greater – not only for tokens issued between those projects, but also for DApps. [decentralized applications] DApps that have cross-chain functions and can be determined or modified by DApps on other chains.
As Web3 rapidly becomes multi-chain, cross-chain communication solutions are growing. Projects working on cross-chain technology include LayerZero and Axelar, both of which are developing solutions to facilitate communication between networks.
To stand out from its well-established competition, Analog focuses on cross-chain development features bundled into a single toolkit rather than relying on third parties like oracles. “We're more developer-focused and working to demonstrate the breadth of our product reach across many different verticals,” Yang said.
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