PayPal co-leads $20M seed funding for on-chain risk optimizer Chaos Labs

Mar 04, 2023 | wjb news

Payment guru PayPal and investment consulting firm Starsky have jointly raised $20 million in seed money for Chaos Labs, a New York-based cloud service platform for protected area chains and agreements.

With an automated technical risk management system, Chaos Labs protects the login password protocol from external attacks and risks. The site does this by providing simulations based on agents and scenarios, which helps protect the protocol from vulnerabilities in economic development systems and market control events.

The seed money is intended to help Chaos Labs further increase the risk in the automation technology chain.

Twenty-three organizations and six angel investors participated in the financing round. The well-known enterprises include Coinbase Ventures, Polygon, Avalance, OpenSea UniSwp and Balaji Srinivesan.

According to Omer Goldberg, founder and chief executive of Chaos Labs, financial risk management methods must be updated to conform to the fragmented financial sector (DEFI) ecosystem. He added:

"for us, every Defi agreement must regularly conduct reliable risk tests to certify and verify that its economy is secure from cyber hackers and unexpected changes."

The website stresses that Chaos Labs's risk module can help protect Defi agreements by optimizing risk and capital efficiency, simplifying risk assessment and simplifying risk assessment.

When PayPal was found to own a large portion of its financial debt in the form of cryptocurrency to customers, the company's interest in logging into the password ecosystem became apparent.

As of the end of 2022, PayPal had $604 million in various cryptocurrencies, including BTC (BTC), ETH, LTC and BCH, according to Cointelegraph. The figures are to be found in the annual report filed with the Foreign Securities and Exchange Commission on February 10th.

In the company's property category, BTC accounts for US $291 million, of which US $250 million belongs to ETH. The remaining $63 million includes bitcoin and bitcoin cash combined.