Blackwing raises $4.5 million to aid liquidation-free trading

Blackwing, a modular blockchain network, has successfully concluded a $4.5 million funding round spearheaded by Hashed and Gumi Cryptos, as per the information shared with Finbold on March 7.

The funding is set aside for the advancement of the inaugural modular layer 2 blockchain tailored for liquidation-free leveraged trading across diverse assets.

Blackwing’s role in DeFi

At the core of Blackwing’s innovation lies its use of Limitless Pools, a method that empowers traders to engage in leveraged transactions by using borrowed funds while staying safe from the threat of forced liquidations.

The approach represents a paradigm shift in decentralized finance (DeFi), promising more robust security, cost-efficiency, and an overall better user experience.

With a team boasting extensive experience gleaned from industry titans such as Robinhood and Meta, co-founders Shahmeer Navid and Zorayr Khalapyan are poised to redefine the landscape of modular blockchain infrastructure.

Baek Kim, Blackwing’s lead investor and partner at Hashed VC, states:

“Giving traders the ability to trade any asset from any chain with leverage without the fear of liquidation is a major step forward in DeFi and is a significant improvement in product experience, security, and costs for traders.”

— Baek Kim, Blackwing’s lead investor and partner at Hashed VC

Limitless pools

Blackwing’s modular architecture represents a departure from traditional monolithic chains.

By turning liquidity provider positions into collateral, Blackwing ensures the preservation of each trader’s original position, fostering a safer trading environment no matter the asset price fluctuations.

Miko Matsumura of Gumi Cryptos Capital praised the ingenuity of Blackwing’s model:

“This is a profoundly exciting new mechanism. This team has created a breakthrough model that is ultimately trader-friendly.”

— Miko Matsumura, Gumi Cryptos Capital

The innovative modular architecture

Blackwing’s modular architecture represents a departure from traditional monolithic chains.

The platform embraces a decentralized ecosystem of app chains designed to facilitate network operations and seamless cross-chain transactions.

Navid emphasizes the transformative impact of the model:

“Across the web3 ecosystem, we’re on a precipice of change with the introduction of modular chains. Instead of single, large monolithic chains dominating the ecosystem, we will see a Cambrian explosion of highly-specialized and scalable interwoven app chains that all work together to onboard the next generation of traders.”

— Shahmeer Navid

Furthermore, Blackwing introduces an intent-solver architecture to simplify the trading process by abstracting execution complexities.

This user-centric model promises to empower traders to focus on their investment strategies and usher in a new era of accessibility in DeFi.