Elixir's $8 Million Fundraise Challenges AMM Dominance
In a move that challenges the Automated Market Maker (AMM) stronghold, decentralized exchange (DEX) protocol Elixir has secured a $8 million in its Series B funding round.
This impressive feat comes just months after their Series A round, propelling Elixir's valuation to a remarkable $800 million – an eight-fold increase.
Elixir has closed our Series B at an $800M valuation, with participation from Mysten Labs, Maelstrom, Manifold, Arthur Hayes, Amber Group, others
— Elixir (@elixir) March 12, 2024
With this, the Elixir Apothecary is now live - users can claim welcome potions today ahead of mainnet ⚗️👇https://t.co/louDJSk4aS
Elixir aims to revolutionize DEX liquidity by solving the interoperability issue across chains for orderbook liquidity, empowering users to efficiently allocate liquidity across different trading pairs and exchanges. They believe this approach offers greater efficiency compared to the current AMM model, which relies on liquidity pools and mathematical formulas.
According to the platform, it currently provides 50%+ of the orderbook liquidity on Bluefin, 20%+ of the orderbook liquidity on Vertex, and 40%+ of the orderbook liquidity on RabbitX. Upcoming native integrations include dYdX, Hyperliquid, Orderly and 30+ others.
The funding round boasts heavy hitters like blockchain R&D company Mysten Labs and crypto investment firm Maelstrom as co-leads. Participation from industry giants like Manifold, Arthur Hayes (BitMEX co-founder), Amber Group, GSR, and Flowdesk further cements investor confidence in Elixir's vision.
"Elixir's meteoric rise from a $100 million valuation to a staggering $800 million signifies the growing demand for streamlined on-chain trading platforms," shared an Elixir spokesperson. "This funding empowers us to accelerate development and integrations, solidifying our position as a pioneer in order book DEX liquidity solutions."
Elixir also announced the start of Apothecary, its points program that offers users "potions" for contributing to Elixir
While specific analyst reactions to this funding round weren't readily available, the focus on improving DEX liquidity through order book systems is a noteworthy development. This shift towards order book DEXs could potentially disrupt the current dominance of AMMs in the DeFi space.