Fintech Firm Lightnet Group Gets $50M From LDA Capital to Boost Velo Protocol's Technology

The firm has the option to raise the total commitment to up to $100 million over the next three years.

Aug 29, 2022 at 11:14 a.m. UTC

Updated Aug 29, 2022 at 1:38 p.m. UTC

CDCROP: Cash Money Red Tape (Shutterstock) — Lightnet Group received a $50 million commitment from LDA Capital (Shutterstock)

Parikshit Mishra is the news editor for CoinDesk during the mid Asia and early European hours. He does not have any crypto holdings.

Follow @parikshitm899 on Twitter

Brandy Betz

Brandy covers crypto-related venture capital deals for CoinDesk.

Follow @BrandyBetz on Twitter

Fintech firm Lightnet Group, creator of blockchain-based cross-border payment infrastructure, has received a $50 million commitment from investment group LDA Capital, the firm said on Monday.

Singapore-based Lightnet said it will use the funds to boost Web3 and cross-border payments through the Velo protocol and expand the protocol's technology. The firm has the option to increase the total commitment to up to $100 million over the next three years.

Velo, a protocol developed by Lightnet partner Velo Labs, is focused on cross-border payments service, specifically in the Asia-Pacific region. The protocol lets licensed financial institutions create and exchange Velo digital assets pegged one-to-one with local currency with the native VELO token used to help maintain the peg, according to the website.

Lightnet had raised $31.2 million in a Series A funding round in 2020. It raised the funds from the investment arm of Singapore-based multinational United Overseas Bank, UOB Venture Management, Seven Bank, HashKey Capital and others.

UPDATE (Aug 29, 12:31 UTC): Adds additional details and background.

Read more about

Funding Fintech Singapore

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.