Veda Secures $18 Million to Expand DeFi Vault System Beyond Crypto

Veda, a leading DeFi infrastructure firm, has secured $18 million in funding to expand its vault-based decentralized finance (DeFi) system beyond the traditional crypto ecosystem. The funding round, announced on June 23, was led by CoinFund and included participation from several notable investors such as Coinbase Ventures, Animoca Ventures, GSR, Mantle EcoFund, BitGo, and Draper Dragon. This capital injection is set to propel Veda's mission to integrate its vault infrastructure into a broader array of financial platforms, moving beyond the traditional crypto-native environments.

Veda's vault system, which has been operational since early 2024, has already demonstrated significant traction. It has processed deposits from over 100,000 users and integrated with dozens of protocols. The system's modular design abstracts the complexity of DeFi yield generation, making it a core component for wallets, fintech apps, and exchanges. By acting as a financial API layer, Veda's technology handles cross-chain yield strategies, risk management, and execution, allowing integrated platforms to offer users a familiar and seamless experience.

The startup's rapid growth, reaching $3.5 billion in total value locked (TVL) within eight months, underscores a critical shift in the DeFi landscape. The next phase of DeFi success will not be determined by the loudest protocols but by those that can effectively mask the underlying complexity. Veda's vault system standardizes yield-bearing activities into modular smart contracts, enabling apps to integrate these features without the need for extensive rebuilding. This approach has already attracted protocols like Ether.fi and Mantle, which have adopted Veda's vaults as foundational components rather than competitive products.

The interoperability of Veda's vaults has positioned them as a shared primitive, much like how AWS became the invisible backbone for web applications. Veda's goal is not to make DeFi more visible but to render it invisible, thereby reducing maintenance and composability headaches for developers. For platforms, this means scalable, yield-generating features that do not require educating users on the risks of DeFi or bridging across chains. For users, it translates to earning yield or staking rewards through interfaces they already trust.

Veda's strategy of embedding its vault-based infrastructure into a wider range of financial platforms is a significant step towards mainstream adoption of DeFi. By abstracting the complexity and providing a seamless user experience, Veda aims to make DeFi accessible to a broader audience, potentially revolutionizing the way financial services are delivered and utilized. This move could pave the way for DeFi to become an integral part of mainstream financial services, bridging the gap between traditional finance and decentralized finance.