- Versatus Labs, focused on Ethereum scaling, secures $2.3 million in a seed funding round.
- The funding round, which included investors like NGC Ventures and Republic Crypto, values Versatus at $50 million.
- Versatus shifts focus from Layer 1 blockchain to a stateless rollup technology for enhanced scalability on Ethereum.
Ethereum scaling startup Versatus Labs raises $2.3 million in seed funding at a $50 million valuation, pivoting towards developing stateless rollup technology to improve Ethereum’s scalability.
Versatus’s Shift in Blockchain Technology Focus
Versatus Labs, initially known as VRRB Labs, has successfully raised $2.3 million in its latest seed funding round, valuing the company at $50 million. The round saw participation from notable investors such as NGC Ventures, Republic Crypto, and Hyperithm. Andrew Smith, founder and CEO, revealed the round was a combination of equity and token warrants. Having begun fundraising in June and concluding in August, Versatus’s total funding now stands at $3.7 million, following a $1.4 million pre-seed round at a $20 million valuation in February. Initially working on a Layer 1 blockchain network, Versatus pivoted to a blockchain scaling platform, focusing on a ‘stateless rollup’ called LASR, in response to market demand.
Developing the LASR Stateless Rollup for Enhanced Scalability
Versatus is innovating in blockchain scalability with its stateless rollup technology, LASR. This technology focuses on maintaining only essential transaction data, leading to increased scalability. Designed to settle on Ethereum, LASR’s layer-agnostic nature allows it to function across different blockchain layers. Smith emphasizes LASR’s potential to reduce costs and inefficiencies associated with Ethereum, aiming to improve the developer experience significantly. The LASR technology is currently in the alphanet stage, with plans for a testnet launch on Ethereum in early January and a mainnet launch expected in mid-March.
Strategic Partnerships and Future Plans
Versatus has established partnerships with key projects such as EigenLayer and Stader Labs to bolster its technology. EigenLayer founder Sreeram Kannan remarked on the importance of stateless verifiers like LASR in Ethereum’s scaling roadmap. Versatus’s team currently comprises 15 members, with Smith planning to maintain a lean team. Looking ahead, Versatus aims to launch additional products to attract more web2 developers to the web3 space, expanding its impact in the blockchain technology sector.
Conclusion
Versatus Labs’ successful seed funding round marks a significant milestone in its journey to enhance Ethereum’s scalability. The company’s pivot to developing stateless rollup technology reflects its adaptability and commitment to addressing the scalability challenges in the blockchain space. As Versatus prepares for its upcoming launches and further product development, its role in advancing blockchain technology and attracting more developers to the web3 ecosystem will be closely watched.
