Zoth, a Singapore-based DeFi yield infrastructure company with regional operations in the UAE, announced raising $4 million in funding.
The fresh capital is to be deployed to spearhead the launch of the company’s innovative Tokenised Liquid Note, comprised of secure low-risk assets like US Treasury Bills (T-Bills) and top-rated corporate bonds from top global financial institutions.
The Zoth Tokenised Liquid Note ($ZTLN) has a size of $100 million and invests in short-term, high-quality instruments to offer institutions and qualified investors a stable and secure yield with no lock-in period, the company said in a media statement.
It will provide transparency with weekly NAV updates, detailed disclosures, and live proof of reserve on Chainlink, and ensures 24/7 liquidity through licensed brokers and custodians, the statement said.
The initiative will mark a major step in Zoth’s mission to bring permissioned Real World Assets (RWAs) and permissionless DeFi fixed-yield products to the blockchain, the company said in a media statement.
Zoth’s latest funding round attracted prominent investors, including Taisu Ventures, G20, Fat Cat Ventures, GemHead Capital, Foundership Ventures, DCI Capital, Absolute Digital VC, Gydra Capital, and AstraX Capital.
The company has also garnered support from top financial and crypto angels from companies like Coinbase and Hedera, alongside a grant from Ripple’s XRPL Foundation.
“We’re thrilled to close this strategic funding round and pursue new opportunities at Zoth,” Pritam Dutta, Founder and CEO of Zoth, said.
“We’re building a one-stop crypto yield layer solution for sustainable yield by harnessing on-chain permissioned RWAs and permissionless DeFi fixed-yield products,” he said.
Dutta said they believe the biggest opportunities in the crypto-asset industry lie within these sectors, and this strategic round shows investor confidence in this space.
Founded in Jan 2023 by Pritam Dutta and Koushik Bhargav, Zoth aims to become a chain-agnostic crypto yield layer, offering institutional and accredited investors easy access to secure and sustainable fixed-income yield products on-chain.
The company said it has so far deployed $13 million in private credit, with over $100 million originated and $200 million in the pipeline.
Zoth is building a regulated ecosystem for innovative products, with its first product, Zoth-Fi, offering stablecoin yields to institutions and qualified investors and is available on over 8 blockchains, including Ethereum, Polygon, and XDC.
They are also integrating multichain RWAs into new ecosystems like Bitcoin through Bitlayer.
Zoth’s growth follows a year of collaboration with institutional partners like Coinbase Asset Management, Chainlink, Wormhole, Singularity DAO, XDC, TradeFinex, Funfair Ventures, and more.
Recognised by Fidelity FCAT and the Wormhole Foundation, Zoth operates with compliant infrastructure in the UAE and Luxembourg.
It has also partnered with diversified ecosystem partners, L1/L2 chains, regulated banks, and fintechs across the Middle East and LATAM.