Crypto startup Ark Labs, which provides solutions for accelerating Bitcoin transactions and lowering transaction costs, raised $2.5 million in its latest funding round. Among its most prominent backers was venture capitalist and billionaire Tim Draper.
Despite launching only in June, Ark Labs is already attracting a lot of attention among crypto enthusiasts and investors. There is a growing movement to push Bitcoin and crypto in general as a mainstream form of payment, and the startup appears to be in a great position to capitalize on this.
Draper isn’t a stranger to making crypto-related investments, having previously invested in crypto exchange Coinbase. He was also the early backer of Tesla, SpaceX, Robinhood, Ring, and Twitch.
“Today, we have to focus not only on how to buy and store bitcoin but how to use it as a medium of exchange for everyday purposes,” Draper said in a statement while adding that Ark Labs allows “seamless bitcoin payments.”
Aside from Draper, Ark Labs was also backed by angel investor Stephen Cole, software company Fulgur Ventures, and Chicago-based investment company Axiom Capital.
According to Ark Labs, the $2.5 million in funds will be used to expand their startup’s team and improve its technology.