LSD protocol Puffer Finance has completed a $5.5 million seed round of financing, led by Lemniscap and Lightspeed Faction.

BlockBeats news, on August 8th, LSD protocol Puffer Finance announced the completion of a $5.5 million seed round of financing, led by Lemniscap and Lightspeed Faction, with other participating institutions including Brevan Howard Digital, Bankless Ventures, Animoca Ventures, Kucoin Ventures, DACM, LBK, SNZ, Canonical Crypto, and community funds 33DAO, WAGMI33, and Concave. Angel investors include Anand Iyer (Lightspeed partner), Sreeram Kannan (Eigen Layer founder), Frederick Allen (Coinbase Staking Business Director), F2pool and Cobo co-founder, Block Gentleman (Curve core contributor), Ramble (President of the North American Blockchain Association), Calvin Liu (Chief Strategy Officer of Eigen Layer), Richard Malone (Chief Business Officer of Obol), and Ladislaus von Daniels (Staking Community Leader). This round of financing will be used to further develop Puffer Finance's open-source project "Secure-Signer", which aims to prevent validators from being penalized during the validation process. The project has received $120,000 in funding from the Ethereum Foundation and has core researcher Justin Drake as an advisor. In addition, Puffer Finance is creating a permissionless staking pool that can lower the participation threshold for independent validators from 32 ETH to 2 ETH, improving capital efficiency. Puffer Finance received $650,000 in pre-seed investment in June last year, led by Jump Crypto, with participation from Arcanum Capital and IoTeX.