Kaskade Finance
A cross-chain incentivization layer that solves the liquidity bootstrapping problem.
| Date | Investors | Amount | Round |
|---|---|---|---|
| - | investor investor investor investor investor | €0.0 | round |
* | N/A | Seed | |
| Total Funding | 000k | ||
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Kaskade Finance, founded in 2023 by Nathan Lenga and Ali Habbabeh, is a Dubai-based firm operating as a cross-chain incentivization layer within the decentralized finance (DeFi) sector. The company addresses the critical issue of liquidity bootstrapping for DeFi protocols and networks. Kaskade's core strategy is to reverse the traditional incentive model; instead of directly incentivizing liquidity providers, it focuses on stimulating trading volume. The underlying belief is that by creating demand through increased trading activity, a sustainable supply of liquidity will naturally follow.
The company's platform enables DeFi protocols with existing tokens to launch campaigns that reward users for generating trading volume. These rewards, which can be in any token, are distributed to traders weekly on a pro-rata basis, calculated from their share of the total trading volume. This gamified approach aims to transform passive token holders into active platform participants, thereby increasing transaction fees for liquidity providers and, in turn, attracting more liquidity to the pools. This creates a flywheel effect where traders attract liquidity, which leads to better trading conditions and attracts even more traders. The firm also offers features like gas rebates to further encourage frequent trading.
In March 2024, Kaskade Finance announced the closing of an oversubscribed pre-seed funding round with participation from over 40 investors, including venture capital firms like Marshland, NxGen.xyz, Artemis Capital, Andromeda Capital, and Crypto Oasis Ventures, alongside several angel investors and influencers. The company has already initiated collaborations with protocols such as Redacted Finance and has been involved in campaigns with partners like the DeFi Collective to boost liquidity for specific token pairs. The team behind Kaskade comprises individuals with experience from organizations like Stanford Blockchain Fund, Techstars Web3, and Sony.
Keywords: DeFi, liquidity bootstrapping, cross-chain incentivization, volume incentives, liquidity mining, decentralized finance, trading competitions, crypto rewards, gamified finance, liquidity pools, on-chain analytics, tokenomics, yield farming, crypto protocols, blockchain finance, transaction volume, liquidity solutions, seed funding, Nathan Lenga, Ali Habbabeh