ParaFi Capital Secures $10M Investment in Permissioned Ethereum Layer 2 Developer Parfin

ParaFi Capital has taken the lead in a $10 million Series A funding round for Parfin, a developer of permissioned Ethereum Layer 2 solutions. The company plans to raise an additional $16 million in a second round of Series A financing, bringing its total funding to $38 million.

Established in 2019, Parfin intends to utilize the funds to further enhance its Rayls network and extend its reach globally, with a particular focus on Latin America. The company’s Rayls network serves as a bridge between decentralized finance (DeFi) and traditional finance (TradFi), enabling institutions such as Banco BV, a subsidiary of the Brazilian Stock Exchange, and Bitso, a crypto exchange, to utilize cryptocurrencies in a compliant manner.

Rayls, a permissioned Ethereum Virtual Machine (EVM) blockchain, caters to enterprise applications like tokenization, Central Bank Digital Currencies (CBDCs), and intra-institutional transactions. The platform mandates Know Your Customer (KYC) compliance for all accounts while ensuring user privacy. It also facilitates connectivity to the DeFi realm through the Rayls Public Chain, an Ethereum Layer 2 solution.

Parfin’s blockchain is currently involved in a Central Bank of Brazil CBDC pilot program and was selected to participate in the Mastercard Start Path Program. The company has also garnered support from Accenture Ventures’ Project Spotlight and received initial funding from a prominent global professional services organization.

In addition to its blockchain infrastructure offerings, Parfin provides services such as stablecoin management, fiat on/off ramps, and crypto brokerage services. The company’s commitment to regulatory compliance and its focus on facilitating institutional adoption set it apart in the evolving crypto landscape.

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