Osmosis Closes $21M Token Sale Led by Paradigm

The Cosmos-based decentralized exchange says its TVL has reached $500 million since its June launch.

AccessTimeIconOct 27, 2021 at 2:43 p.m. UTC
Updated May 11, 2023 at 7:04 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

The Osmosis Foundation has closed a $21 million token sale from its treasury to help expand the Osmosis automated market maker (AMM) protocol. Paradigm led the foundation’s first fundraising with participation from Robot Ventures, Nascent, Ethereal, Figment and Do Kwon, Terraform Labs’ CEO.

  • An AMM is a decentralized exchange (DEX) protocol that relies on a mathematical formula or algorithms to price crypto assets in liquidity pools. Osmosis users can compound yield through a technology called Superfluid Staking.
  • Token holders typically have to choose between staking yield, which helps provide protocol security, or liquidity yield. Superfluid Staking allows holders of OSMO, the governance token of Osmosis, to use their tokens for staking and liquidity at the same time, maximizing the potential rewards without compromising network security.
  • Osmosis is on the Cosmos ecosystem, the so-called “internet of blockchains” that connects other cryptocurrency networks and helps them work together. Since its launch in June, Osmosis says the total value locked (TVL) on its DEX has reached $500 million. TVL is the U.S. dollar value of the cryptocurrency committed to DeFi protocols that are built on a layer 1 blockchain.
  • “Osmosis is our first AMM investment outside of the Ethereum ecosystem,” said Charlie Noyes, investment partner at Paradigm, in the press release. “The launch of IBC, Cosmos’ cross-chain interoperability protocol, kicked off a Cambrian explosion of developer activity and experimentation. Osmosis is the natural center of gravity for liquidity in Cosmos’ emerging DeFi ecosystem.”
  • How Bitcoin and Ether's Options Contracts Combined Expiry Could Spike Volatility
    01:11
    How Bitcoin and Ether's Options Contracts Combined Expiry Could Spike Volatility
  • Over $1B in U.S. Treasury Notes Has Been Tokenized; FATF Calls for More Regions to Regulate Crypto
    02:04
    Over $1B in U.S. Treasury Notes Has Been Tokenized; FATF Calls for More Regions to Regulate Crypto
  • Moondance Labs CEO on 'Barriers of Entry' for Building Layer 1s
    01:28
    Moondance Labs CEO on 'Barriers of Entry' for Building Layer 1s
  • What Challenges Do Appchains Solve?
    00:59
    What Challenges Do Appchains Solve?
  • Disclosure

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

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

    Brandy Betz

    Brandy covered crypto-related venture capital deals for CoinDesk.


    Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.