Echelon has raised $3.5 million in seed funding to advance its decentralized finance (DeFi) lending protocol, specifically designed for Move-based blockchains like Movement and Aptos. The funding will be used to expand Echelon’s offerings, develop treasury and RWA-backed strategies, implement vaults for cross-chain deposits, and grow its engineering and marketing teams.
Echelon’s protocol introduces innovative features such as increased borrowing power on correlated assets, isolated pools for long-tail asset markets, and direct in-wallet integration for simplified yield strategies. The platform also plans future support for investing in and borrowing against illiquid real-world assets (RWAs).
Developed using the Move programming language, Echelon targets institutional-grade markets, emphasizing capital efficiency, affordable borrowing rates, and unique yield opportunities. The protocol has already gained traction with a growing user base, numerous transactions, and significant amounts of assets supplied and borrowed.
Rushi Manche, Co-Founder of Movement Labs, praised Echelon’s approach, stating, “Their focus on capital efficiency and user-friendly design positions them to become a leader in the next generation of DeFi protocols on the Movement Network.”
Echelon’s high-efficiency money market enables users to borrow and lend assets through non-custodial pools, offering overcollateralized positions to protect lenders while providing high capital efficiency for borrowers. The protocol also includes isolated pools for long-tail assets and one-click strategies for leverage staking and RWA-backed vaults, such as leveraged treasuries.
Echelon aims to maximize capital efficiency and provide affordable borrowing rates in the DeFi ecosystem, leveraging advanced risk management techniques and integrating with various assets to unlock new possibilities for yield generation and financial accessibility.
