Velvet Secures $3.7M to Launch Innovative DeFAI Operating System
Velvet Capital Secures $3.7 Million to Enhance DeFi Trading and Portfolio Management
9 July 2025 – Velvet Capital, an innovative ecosystem focused on decentralized finance (DeFi) trading and portfolio management, has successfully raised $3.7 million. This funding will expedite Velvet’s goal of simplifying trading and portfolio management for funds, decentralized autonomous organizations (DAOs), and individual traders, while also facilitating the launch of its new governance and utility token, VELVET.
Strategic Backing from Notable Investors
The funding round saw participation from prominent investors, including YZi Labs and Blockchain Founders Fund, alongside FunFair Ventures, Selini Capital, Mucker Capital, PAKA, LucidBlue, Mindfulness Capital, SkyVision Capital, Gate Labs, Poolz Ventures, NexGen, Cointelegraph Accelerator, Gains Associates, Rarestone, Echo, DWF Ventures, and other strategic partners.
“Velvet is simplifying the complexities of DeFi portfolio creation. Their technology enables teams to deploy, automate, and scale on-chain strategies without the need for new infrastructure. We are enthusiastic about their future impact on asset management in the crypto space.” — Aly Madhavji, Managing Partner, Blockchain Founders Fund
A Comprehensive DeFi Infrastructure
Advanced AI Framework
Velvet features a cutting-edge, self-improving multi-agent AI system specifically designed for the DeFi landscape. This allows users to discover alpha opportunities, receive technical analysis, forecast prices, and execute trades using natural language commands.
Robust Trading Terminal
Users can explore trending tokens, high-volume assets, and yield-generating DeFi pools, enabling them to analyze and trade directly from their wallets.
Portfolio Management Solutions
Velvet offers the ability to create personal or community vaults, allowing for either restricted access to whitelisted wallets or open participation for all users.
Customizable APIs
Developers can create applications under their own branding and web domains, ensuring direct relationships with clients.
“At Quantix, we utilize Velvet’s vault infrastructure for managing our private investments and native tokens seamlessly on Ethereum. The processes for deposits, withdrawals, and swaps are incredibly smooth, and the contracts are highly reliable. We look forward to continuing our collaboration with the Velvet team.” — Jake Seltzer, Managing Director, Quantix Capital
VELVET & veVELVET: Aligning Long-Term Stakeholder Interests
The VELVET token provides full utility when staked as veVELVET (vote-escrowed VELVET). Users can lock their VELVET for periods of up to four years, with longer locks yielding greater amounts of veVELVET. This system encourages ongoing engagement through linear balance decay, promoting continuous re-locking.
Advantages for veVELVET Stakers
- Real Yield: A portion of platform revenue is allocated to buy VELVET on the market, which is then distributed to stakers.
- Additional Emissions: Users can earn extra VELVET based on their individual platform usage.
- Discounts on Trading Fees: Stakers benefit from tiered trading fee reductions and enhanced referral rewards.
- Airdrops and Rewards: Participants may receive airdrops and incentives from new projects that integrate with Velvet’s operating system.
- Governance Participation: Stakers gain rights to vote on DAO decisions, integrations, and fee structures.
“FunFair aligns with Velvet Capital’s vision that the future of asset management will be trustless, transparent, and conducted on-chain. By combining robust security with an intuitive user experience, Velvet is establishing the groundwork for a more open financial ecosystem.” — Michael O’Connor, Partner, FunFair Ventures
The upcoming VELVET listing will provide the public with its first chance to purchase the token, granting exclusive access to governance, fee discounts, and real yield opportunities within the Velvet ecosystem. In addition to centralized exchanges, users will have the option to acquire VELVET directly through the Velvet App and stake it for further rewards.
About Velvet Capital
Velvet Capital is a pioneering DeFi trading and portfolio management ecosystem powered by intents, offering a fully integrated stack, a live application, APIs for seamless integration, and a dedicated DeFi operating system for agents.
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