YIELD.app, a project that describes itself as a "simpler" decentralized finance (DeFi) banking platform, has raised close to $5 million in a hybrid funding round led by Alphabit and Digital Strategies.

The funding will be used to continue supporting working capital, further development of the portfolio management system, marketing, growth and additional licenses, a spokesperson told CoinDesk via email.

According to a statement on Thursday, the funding came from multiple sources including $297,000 from online investment platform BnkToTheFuture. A further $3.4 million in private funding was secured from Alphabit Fund, Digital Strategies, PALCapital, Yeoman’s Capital and Chronos VC.

On Dec. 7, another $1.2 million was raised in partnership with TrustSwap from a presale of the platform's utility token ($YLD), bringing the total funding from the hybrid round to just under $4.9 million.

YIELD allows users to earn returns from investing in DeFi products and sets out to simplify the "costly learning process" associated with the relatively new sector. The project will soon launch an app on both Android and iOS.

Simon Dixon, CEO of BnkToTheFuture said YIELD was selected for investment because it has a "well-structured company" behind it. YIELD and its supporting companies are owned by UNIFI Group Ltd., a British Virgin Islands holding company.

The firm's website says it is regulated and licensed. When asked by CoinDesk, a representative said: "Yield.App is operated by ... Mwali international business corporations holding a restricted banking license and trust management license issued by the Mwali International Services Authority."

Mwali is the smallest island of the Comoros archipelago.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.