Resolv Labs Raises $10M to Scale Its Yield-Bearing Stablecoin Protocol

Resolv Labs has raised $10 million in a seed round led by Cyber.Fund and Maven11, with participation from Coinbase Ventures, SCB Limited, Arrington Capital, and Animoca Ventures.

Resolv Labs, a company focused on developing a yield-bearing stablecoin protocol, has announced the completion of a $10 million seed funding round. The investment was led by Cyber.Fund and Maven11, with contributions from Coinbase Ventures, SCB Limited, Arrington Capital, Animoca Ventures, and others.

With this new capital, Resolv aims to scale its protocol, which currently boasts $434 million in total value locked, as noted by DeFiLlama. The protocol features two types of tokens, drawing inspiration from co-founder and CEO Ivan Kozlov's experience with structured products in traditional finance to segregate risk into two tiers.

The USR stablecoin token is designed to provide stable yields derived from crypto markets while safeguarding holders from significant price fluctuations, presenting a lower-risk segment of the investment. Conversely, the RLP token, priced at a floating rate, is intended for risk-tolerant investors and serves as an insurance layer for the protocol.

"I view stablecoins as the perfect rails for yield distribution," Ivan Kozlov, founder and CEO of Resolv, stated in an interview with CoinDesk. "This may actually become larger than transaction stablecoins like [Tether's] USDT in the future."

The announcement arrives amid increasing attention on yield-generating stablecoins, also known as "synthetic dollars." Ethena's USDe stands out as the most recognized token in this category, with $4.88 billion in total circulating value, according to CoinMarketCap data.

Moreover, several Web3 companies are developing products specifically designed for stablecoins. Codex recently secured $15.8 million in funding from Dragonfly to construct a blockchain concentrating on stablecoins, while Cap, which raised $8 million, is building a "stablecoin engine" enabling users to generate passive interest (yield) from other tokens.