Gelato raises $11M from heavyweight backers for Web 3 automation

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Gelato smart contract automation network is the latest to receive massive support from crypto-venture capital giants.

Gelato raised $ 11 million through Dragonfly Capital’s Series A round of funding with ParaFi Capital, Nascent, IDEO CoLab Ventures and founder Aave Stani Kulekhov.

The funds were raised through a private token sale and will be used to attract more blocks to the network and increase the staff with the existing team of 15 people.

Gelato automates Ethereum smart contract operations using so-called “arbitrary logic” and bots. The most notable use is to solve liquidity and volatility problems when trading cryptocurrencies. The protocol can protect traders from large losses by automatically balancing portfolios and performing trades on their behalf.

Third-party servers and systems are required to monitor smart contracts and the terms of their implementation. Gelato eliminates intermediaries by using a decentralized network of robots to perform these operations, making DeFi easier for end users.

Mika Honkasalo from ParaFi Capital explained that:

Gelato expands the possibilities of smart contracts, which are inactive by default and are only executed when the user allows it.
Helato Orth, founder of Gelato, explained that Web 3 developers can now connect to the existing decentralized network instead of writing their own bots running on central servers.

The Gelato network currently supports smart contracts on Ethereum, Polygon and Fantom, and will add additional support for Binance Smart Chain, Arbitrum, Optimism and Avalanche. Several projects are already using the system to automate contracts, including MakerDAO, Instadapp, B Protocol and QuickSwap.

RELATED: Gelato Network Launches “G-UNI” Uniswap v3 Governance Token

In June, Gelato introduced an automated liquidity manager for Uniswap called G-UNI, which combined the capital efficiency of Uniswap v3 with the usability of v2.

In August, Gelato teamed up with DeFi Aggregator Zerion to improve liquidity management for users. This allowed approximately 200,000 monthly active Zerion users to automatically manage the functionality of Uniswap v3.

Source: CoinTelegraph

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