Zoth’s latest $4 million funding round supports the launch of their Tokenised Liquid Note, combining low-risk assets like T-Bills with DeFi fixed-yield products to revolutionise the crypto yield space.
Zoth, a DeFi Yield infrastructure space, has raised $4 million in a strategic funding round. This investment will help drive the launch of Zoth’s innovative Tokenised Liquid Note, which includes secure, low-risk assets such as US Treasury Bills (T-Bills) and top-rated corporate bonds from leading global financial institutions.
This development is a crucial milestone in Zoth’s mission to merge permissioned Real World Assets (RWAs) with permissionless DeFi fixed-yield products on the blockchain.
The funding round attracted investments from prominent entities, including Taisu Ventures, G20, Fat Cat Ventures, GemHead Capital, Foundership Ventures, DCI Capital, Absolute Digital VC, Gydra Capital, and AstraX Capital. Additionally, support came from leading financial and crypto angels associated with companies like Coinbase and Hedera, alongside a grant from Ripple’s XRPL Foundation.
Established in January 2023 by Pritam Dutta and Koushik Bhargav, Zoth aims to be a chain-agnostic crypto yield layer. It offers institutional and accredited investors easy access to secure and sustainable fixed-income yield products on-chain.
“We are delighted to conclude this strategic funding round, which allows us to explore new avenues at Zoth. We are developing a comprehensive crypto yield layer solution that delivers sustainable yields by leveraging on-chain permission RWAs and permissionless DeFi fixed-yield products. This strategic round underscores investor confidence in the vast opportunities within these sectors,” stated Pritam Dutta, Founder and CEO of Zoth.
To date, Zoth has deployed $13 million in private credit, with over $100 million originated and $200 million in the pipeline. The company is crafting a regulated ecosystem for innovative products. Its inaugural product, Zoth-Fi, provides stablecoin yields to institutions and qualified investors and is accessible on over eight blockchains, including Ethereum, Polygon, and XDC. Zoth is also integrating multichain RWAs into new ecosystems like Bitcoin through Bitlayer.
Takashi Hayashida, Managing Partner at Taisu Ventures, remarked, “We are enthusiastic about backing Zoth’s visionary approach to Real World Assets, bridging TradFi and DeFi. At Taisu Ventures, we are optimistic about RWAs and Zoth’s ambition to become the leading solution for building a yield layer in crypto. Their strategic methodology and execution instil confidence in their capability to deliver sustainable fixed-income yields. We are thrilled to support a project with such a compelling vision and expertise.”
The Zoth Tokenized Liquid Note ($ZTLN) is a $100 million fund that invests in short-term, high-quality instruments, offering institutions and qualified investors a stable and secure yield without a lock-in period. It ensures transparency with weekly NAV updates, detailed disclosures, and live proof of reserve on Chainlink.
Managed by experts recognised by Compound, Mastercard, Coinbase, and Fidelity, it guarantees 24/7 liquidity through licensed brokers and custodians. The product features audited smart contracts and interoperable security tokens compatible with multiple blockchains.
Zoth is also advancing Atlas, a permissionless yield product designed to be a comprehensive DeFi yield solution. Currently in its testnet phase, Atlas aims to educate DeFi users and deliver sustainable on-chain yield through RWAs and crypto strategies. The product has already reached over one million wallets via its gamified RWA index on Berachain and Base Network.
“Zoth’s successful strategic raise is a strong endorsement of their vision, which we supported from the outset,” commented Aly Madhavji, Managing Partner at Blockchain Founders Fund. “The participation of other prominent investors further validates the significant impact Zoth is set to have in integrating traditional finance with decentralised technologies.”
This strategic round follows Zoth’s $2.5 million Seed Round, led by Blockchain Founders Fund in April 2024. This round included support from Borderless Capital, Mindfulness Capital, YAP Capital, Singularity DAO, Wormhole, and leading angels from top crypto-native companies like Circle.
Collaborations with institutional partners like Coinbase Asset Management, Chainlink, Wormhole, Singularity DAO, XDC, TradeFinex, Funfair Ventures, and more have bolstered Zoth’s growth. Recognized by Fidelity FCAT and the Wormhole Foundation, Zoth operates with compliant infrastructure in the UAE and Luxembourg.
The company has also partnered with diversified ecosystem partners, L1/L2 chains, regulated banks, and fintechs across the Middle East and LATAM.
