Smart contract automation network Gelato has reportedly been the most recent entity at the receiving end of financial support from crypto venture capital heavyweights.
Specifically, Gelato has successfully acquired $11 million via a Series A fundraising, led by Dragonfly Capital, with ParaFi Capital, Nascent, IDEO CoLab Ventures, and Aave founder Stani Kulechov also taking part in.
The raising for the funds was reportedly done via a closed-door token sale and will be dedicated to attracting an increased number of blockchains to the network, as well as onboarding fresh faces for its team, which is 15 at the moment.
Gelato reportedly achieves automation for Ethereum smart contract operations via employing what is referred to as “arbitrary logic” and bots.
The entity’s most distinguished use case is handling liquidity and volatility problems using cryptocurrency trading. The protocol has the ability to shield traders against numerous losses, via rebalancing portfolios in an automated manner, as well as carrying out trades on their behalf.
It is mandatory for Third-party servers and networks to run supervision for smart contracts and conditions for their execution. Gelato puts an end to the intermediaries with the assistance of a decentralized network of bots to conduct such operations, offering simplicity to decentralized finance (DeFi) for end-users.
“Gelato expands the capabilities of smart contracts, which are by default inactive and only execute when a user triggers them.” Mika Honkasalo of ParaFi Capital provided further explanation.
Gelato co-founder Hilmar Orth disclosed in detail that Web 3.0 developers will now have the freedom to access a current decentralized network, rather than having to write custom bots run on centralized servers.