Neptune Mutual, the parametric cover protocol, has successfully closed a private round of $5.3M. Investors include: exchange venture funds from XT.com, Gate io, Bitmart; venture funds that have a portfolio of DeFi/metaverse projects, such as LD Capital, Mapleblock Capital, Pulsar Global, The DuckDao, Dweb3, and Lux Capital; and funds with DeFi user communities, such as Poolz Finance, BSC Army, Whitelist Ventures and the CryptoLark, amongst others.
“We very much appreciate the fact that most of our investors, as in previous rounds, are not just on-boarding Neptune Mutual as an investment opportunity, but also bringing strategic collaborations to the Neptune Mutual ecosystem, including: potential cover pool creators, liquidity providers, and cover purchasers” said Gillian, co-founder of Neptune Mutual.
This private round follows on from the 5M$ of capital raised previously in Neptune Mutual’s seed & strategic rounds from investors such as Fenbushi, Coinbase Ventures, Animoca Brands, GBV Capital, Huobi, OKX and a number of other crypto-native funds.
Neptune Mutual’s model is quite different in comparison to other on-chain solutions. First and foremost it is a marketplace for parametric cover protection of digital assets against hacks and exploits. Stakeholders can choose to assume one or multiple roles, for example, a cover pool creator can also choose to become a liquidity provider. Cover pools are open to anybody who is looking either to purchase a cover policy for digital asset protection, or anybody looking to earn rewards by providing liquidity to cover pools of projects they support. A policyholder is guaranteed a payout in case of an incident resolution, without having to make an individual claim for proof of loss, and above all without having to worry whether this claim will be accepted or denied. Cover-pools are chain agnostic and the denomination of cover pools are in stable coins, both for liquidity provider and cover purchaser. This removes the link between cover pool liquidity (and returns) and project token or ETH prices; in so doing it removes an important element of risk and volatility for both cover purchasers and liquidity providers.
The adoption of Neptune Mutual’s parametric solution and the creation of dedicated cover pools has already been confirmed by a number of exchange partners and DeFi protocols.
Vijay, founder of Mapleblockshared: “we have invested in over 120 DeFi and Gamefi projects and foresee great synergy between Neptune Mutual and the rest of our portfolio companies. To facilitate easier collaboration we also onboarded Gillian as our DeFi strategic advisor who is best positioned to advise on risk mitigation challenges that our current portfolio and future deals are facing”.
Leslie, founder of GBV Capital and a strategic investor of Neptune Mutual further added “ We are a very active investor in the DeFi space and we have studied DeFi cover initiatives since 2020. We are bullish on the experience and drive of the team at Neptune Mutual and are delighted to be an early investor. We believe their approach to offer a stablecoin based return for liquidity providers is the sustainable solution for the space. It’s good to see their active efforts in engagement and partnership bear fruit as they extend their coverage to a large part of the active DeFi space.”
The project is expected to announce its utility token placement and listing soon, prior to the mainnet launch of the protocol. Stay tuned for more releases for further details.
Source: Captive International