Kinto Raises $5 Million to Launch First KYC'd Layer 2 Blockchain for Financial Institutions and Decentralized Protocols

Funds to fuel Kinto's network-native KYC and investor accreditation checks, allowing institutions offer traditional financial services on-chain and access capital in Ethereum

ORLANDO, Fla., Nov. 15, 2023 /PRNewswire/ -- Kinto, the first KYC'ed Layer 2 blockchain capable of supporting both financial institutions and decentralized protocols, announced today it has raised $5 million in two funding rounds to power its future as a secure and compliant network for financial apps on Ethereum.

Of the $5 million, $1.5 million came from a pre-seed round led by Kyber Capital Crypto, a SALT family venture fund. A second $3.5 million round was led by Kyber Capital Crypto, Spartan Group, and Parafi, with additional investors including Skybridge, Kraynos, Soft Holdings, Deep Ventures, Modular, Tane, and Robot Ventures. The funds will go toward team expansion and network development.

"We believe that a fully KYC'ed Layer 2 on top of Ethereum is an inevitability, and we have extremely strong conviction that Kinto is the right team to execute this vision. We are excited about the opportunity to invest, partner, and support them as they grow," said Alex Klokus, Co-Founder and Managing Partner at Kyber Capital Crypto.

Kinto enables providers to conduct network-native KYC and investor accreditation checks compliant with U.S. Office of Foreign Assets Control (OFAC) requirements, allowing them to access the abundant capital in Ethereum by offering traditional financial services on-chain

Kinto protects both the privacy and assets of users. Its KYC mechanism encrypts all personal information and stores it with a third party, shareable only at user request. In addition, every app is insured on Kinto, shielding users from untraceable exploits and anonymous scams. Finally, Kinto offers developer incentives that make it the perfect place to launch new applications.

"With built-in insurance, KYC, and fraud monitoring, Kinto provides the ideal environment for finance to thrive," said Ramon Recuero, CEO and Co-founder of Kinto. "Traditional finance users and institutions can finally access the wealth of liquidity available in the Ethereum ecosystem in a fully compliant and vetted environment."

About Kinto

Kinto is the first KYC'ed Layer 2 capable of supporting both modern financial institutions and decentralized protocols. Safe, compliant, and decentralized, Kinto is a fast, low-cost, and secure network that meets the requirements of both DeFi and traditional finance. And with native-level KYC, built-in insurance, and developer incentives, Kinto provides attractive infrastructure for users, builders, and investors from both worlds. Learn more at https://kinto.xyz/.

SOURCE Kinto