Flashbots has successfully raised $60 million in a Series B round led by Paradigm with a $1 billion valuation. The company filed with the US Securities and Exchange Commission (SEC) on July 21, announcing that it had raised $30.4 million of a $59.9 target.
Besides Paradigm, participating in this Series B rounds also included top venture capital funds, layer-2 projects, angel investors, exchanges, and dapps, according to The Block. The capital will be used to develop the company’s MEV network called SUAVE, thereby creating cheaper and more private transactions for users.
Flashbots is an Ethereum-centric research and development startup that aims to eliminate the negative effects of MEVs, or the potential profits that miners can extract by previewing or re-ordering upcoming blockchain transactions. Flashbots proposes blocks for Ethereum’s validators.
SUAVE (Single Unifying Auction for Value Expression) is a new software version released in October 2022 of Flashbots, which can be seen as an independent network like memepool and decentralized block builder. Developers can use SUAVE to launch intra-block applications such as block builders or orderflow auctions. These applications compete with each other based on user preferences, making cheaper and more private transactions than traditional transactions on chains like Ethereum.
Besides Flashbots, the crypto market in the week of July 17-22 raised $201.4 million, temporarily cutting off the decline of the previous 5 consecutive quarters.