PayPal Ventures has announced an additional investment in Chaos Labs, a provider of on-chain risk management solutions.
This move signifies PayPal Ventures’ ongoing confidence in Chaos Labs and its blockchain offerings.
Chaos Labs has recently introduced Edge, a new decentralised oracle protocol that has attracted notable attention within the industry. In the past two months, Edge has secured approximately $30bn and gained adoption from major exchanges, including Jupiter, the leading perpetuals exchange on Solana, and GMX, a prominent exchange on Arbitrum.
Edge is designed to provide a comprehensive, low-latency oracle solution that integrates accurate price data with actionable market intelligence. Its architecture aims to enhance the security and efficiency of decentralised finance (DeFi) applications while offering insights into market dynamics and security risks. The protocol continuously monitors the market for specific risk signals, conducts off-chain data parsing and computation, and produces a single actionable data point.
Chaos Labs CEO and founder Omer Goldberg said: “We’re excited to receive the strong confidence and additional support from the PayPal Ventures team. Edge by Chaos is the culmination of our entire company’s work and expertise. Edge Price, Risk, and Proofs deliver meaningful and unmatched contextualised risk and price data for assets including stablecoins and other real-world-assets, in addition to the crypto assets and venues that provide access to them.”
Last month, Chaos Labs revealed a $55m Series A funding round led by Haun Ventures, with participation from new investors such as F-Prime Capital, Slow Ventures, and Spartan Capital, alongside existing investors, including PayPal Ventures. The company has reported significant growth, tripling its customer base and achieving billions in trading volume, loans, and incentives.
PayPal Ventures’ investment aligns with the company’s commitment to the blockchain ecosystem. In May 2024, PayPal launched its stablecoin, PYUSD, on the Solana blockchain.
PayPal Ventures partner Amman Bhasin said: “Our continued investment in Chaos Labs reflects our belief in their vision to create a safer crypto ecosystem and move more financial services on chain. Chaos Labs has emerged as a leading risk authority in the sector and we are thrilled to witness their evolution as they launch innovative products like Edge to mitigate oracle vulnerabilities.”
Chaos Labs will receive the total investment in PYUSD on-chain, with a simulation to be demonstrated live on-stage on September 20th at the annual Solana Breakpoint conference in Singapore.
