Walrus Secures $140M Funding and Partners With Grayscale and Pipe Network to Boost Decentralized Storage and Web3 Infrastructure

Walrus Protocol has made notable progress in August 2025, with a series of updates and strategic partnerships aimed at strengthening its role in the decentralized storage and Web3 infrastructure landscape. These developments include institutional backing, technical integrations, and ecosystem expansion.

Grayscale, a prominent digital asset investment firm, launched the Grayscale Walrus Trust, offering accredited investors direct exposure to the $WAL token. This move underscores growing institutional confidence in Walrus and its position within the Sui ecosystem [1]. The trust is part of a broader trend of traditional finance entities entering the blockchain space, and it could bring increased liquidity and visibility to the Walrus Protocol [2].

To further enhance its network performance, Walrus partnered with the Pipe Network, a decentralized CDN with over 280,000 nodes globally. This collaboration is expected to significantly reduce latency and improve bandwidth efficiency, making Walrus more suitable for real-time applications and large media files. By leveraging decentralized infrastructure, Walrus aims to outperform traditional centralized CDNs while maintaining the benefits of decentralization [1].

In another key development, Walrus announced a strategic partnership with Veea Inc. in July 2025. This collaboration combines Veea’s edge computing capabilities with Walrus’s decentralized storage to create a high-performance infrastructure for decentralized applications (DApps) and AI development. The integration is designed to handle high data throughput and reduce latency, making Walrus a more viable solution for complex, data-intensive applications [1].

The Walrus Foundation also raised $140 million in early 2025 from top crypto investors, including Standard Crypto. This funding supports the protocol’s technical development and ecosystem growth, reinforcing its credibility and long-term vision in the decentralized storage market [1]. The investment highlights a growing belief in the role of programmable data storage as a foundational layer for Web3 and AI applications.

Beyond institutional and technical advancements, Walrus has expanded its integration into the broader Web3 ecosystem. Projects like Swarm Network and Talus are utilizing Walrus for decentralized data storage and AI-driven applications. Swarm relies on Walrus for storing datasets and media files in a transparent, auditable manner, while Talus leverages the protocol to enable on-chain AI agents, further cementing Walrus as a core infrastructure layer [1].

Despite these positive developments, the $WAL token has seen a 3% decline in the last 30 days, currently ranked 160 by market cap on CoinGecko. While no immediate price targets have been set, the technical and strategic moves are expected to influence investor sentiment and market dynamics in the coming months [2].

These updates position Walrus as a key player in the decentralized storage space, with a clear focus on scalability, performance, and institutional adoption. As the project continues to integrate with Sui-based DApps and AI initiatives, the broader blockchain and Web3 communities are likely to pay closer attention to its progress.

Source:

[1] Altcoin Buzz - [https://www.altcoinbuzz.io/product-release/walrus-august-updates/](https://www.altcoinbuzz.io/product-release/walrus-august-updates/)

[2] CoinMarketCap - [https://coinmarketcap.com/cmc-ai/walrus-xyz/latest-updates/](https://coinmarketcap.com/cmc-ai/walrus-xyz/latest-updates/)

[3] Instagram - [https://www.instagram.com/p/DNjEqKjpBsg/](https://www.instagram.com/p/DNjEqKjpBsg/)