Gelato secures $11M funding, adds Kraken’s Ink to rollup platform

As a seasoned researcher with a keen interest in blockchain technology and its potential to revolutionize industries, I find the recent funding round of Gelato intriguing. With $11 million from Hack VC and the anticipated Kraken’s Ink joining as a customer, this network focused on smart contract automation is poised for growth.


In a Series A+ financing round headed by Hack VC, Gelato – a platform specializing in smart contract automation – has garnered $11 million. Additionally, Ink, the upcoming blockchain from Kraken, is expected to become a client of their services.

Extra resources will empower Gelato to broaden its platform, giving startups and established companies the opportunity to create their own blockchain application.

In this recent financing phase, significant investors such as Animoca Brands, IOSG Ventures, and Bloccelerate VC have joined forces with Gelato, bumping up their total investment to a substantial $23 million.

Hilmar Orth, one of the founders of Gelato, shared with CryptoMoon that the received funds will be utilized to enhance the network’s user interface, catering to both Web3 and traditional Web2 businesses as they develop large-scale, blockchain-based applications.

“Gelato is committed to a future where every company operates onchain. Achieving this vision requires scalable and affordable access to blockspace for millions of businesses.”

Kraken’s Ink joins Gelato

Significant news in the financing update involves the incorporation of Kraken’s Ink, an innovative layer-2 (L2) blockchain technology, as a client on the Gelato rollup network.

On October 24th, the cryptocurrency platform Kraken unveiled a new service called Ink, set for release in early 2025. The goal of Ink is to empower users to engage in trading, borrowing, and lending activities directly, eliminating the need for intermediaries.

Orth informed CryptoMoon that Gelato focuses on collaborating with Web3 teams who are poised to push the boundaries beyond the current standard of adoption. In simpler terms, he mentioned that Gelato prefers working with teams aiming to surpass the existing level of acceptance in the Web3 space.

“[Kraken] are in a pole position to guide its crypto-savvy user base onchain, aligning well with Gelato’s mission of scaling onchain compute to the world.”

Gelato secures $11M funding, adds Kraken’s Ink to rollup platform

Addressing Web3 limitations and challenges

With an ongoing growth in the number of Decentralized Applications (DApps), there’s a corresponding rise in the demand for scalable solutions. High transaction costs and sluggish processing speeds continue to pose difficulties.

Orth posits that the notion that every application can be accommodated on a single blockchain has become obsolete. Instead, he advocates for a modular method as the fundamental strategy for scaling Web3 applications. In other words, he believes this approach is crucial in expanding the capabilities of Web3 applications.

“Like Web2 companies scaling across millions of servers, Gelato aims to scale onchain compute horizontally. Gelato’s platform will enable developers to achieve this scale while maintaining security and interoperability.”

Second $11 million raise in one month

On October 8th, it was disclosed that Gelato successfully secured $11 million in Series A funding from various cryptocurrency venture firms such as Dragonfly Capital, ParaFi Capital, and Stani Kulechov, the founder of Aave, among others.

The money collected was used for bringing additional blockchains onto the Gelato network and growing the existing team of 15 members.

The main purpose of Gelato lies in its automated Ethereum network for smart contracts, designed to tackle challenges related to liquidity and price fluctuations in digital currency transactions.

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2024-10-28 17:18