Peregrine Exploration, a blockchain development and research company, secured $3.6 million in funding co-led by Polychain Capital and Dragonfly to advance the development of Level, a pioneering stablecoin protocol.
This funding round also saw participation from prominent investors including Robot Ventures, Pier Two, EIV, Global Coin Research, and individual contributors such as Balaji Srinivasan, Jeff Feng of Sei, Julian Koh of Aevo, and Sidney Powell of Maple Finance.
The upcoming launch of Level’s stablecoin, lvlUSD, is set to enter a closed beta phase in the coming weeks.
This will enable users to mint lvlUSD by depositing dollar tokens such as USDT and USDC. Participants in the beta will also earn Level XP, restaking points, and Aave yield on their deposited tokens.
Peregrine Exploration is promoting this initiative by inviting users to secure a spot on the waitlist via the Level website.
Level’s stablecoin model is built on the concept of restaking, where crypto assets are repurposed to provide economic security for decentralized networks.
The protocol’s decentralized nature and its focus on scalability position lvlUSD as a key player in the burgeoning restaking economy.
The major restaking protocols, including Symbiotic, Karak, and Eigenlayer, have announced support for the use of various tokens, including dollar tokens, to contribute to economic security.
By simplifying the process of restaking dollar tokens, Level aims to unlock approximately $160 billion worth of these tokens for participation in the restaking economy.
This innovation is particularly beneficial for protocols that require economic security, known as Actively Validated Services (AVSs) on Eigenlayer, as it offers a more stable and predictable security solution.
In addition to its stablecoin launch, Level has formed an AVS Alliance comprising over 10 AVSs that are exploring the use of stablecoins for economic security.
This Alliance is expected to facilitate collaboration and support the growth of the restaking space. Level’s ecosystem is further strengthened by partnerships with key operators such as Pier Two, Finoa Consensus Services, and Kiln.
Analysts said the integration of stablecoins into the restaking economy represents a significant advancement in the crypto space, offering both stability and scalability.