Acre Raises $4M at $90M Valuation, Unlocking Bitcoin-Native Compounding for BTC Holders

Acre, a pioneering platform dedicated to Bitcoin-native compounding, has successfully secured $4 million in a strategic funding round, propelling its valuation to $90 million. This significant investment underlines the growing interest in Bitcoin’s integration into decentralized finance (DeFi), as Acre launches its dApp designed to empower BTC holders with secure and transparent compounding options.

• Funding: $4 million at $90 million valuation
• TVL: Over $100 million in BTC
• Community Growth: From 6,000 to 36,000+ members
• Future Plans: Integration with Layer 2 and DeFi applications

Acre’s mission is to provide a platform where Bitcoin enthusiasts can compound their BTC effortlessly, all while adhering to Bitcoin’s fundamental values of control and transparency. Since its launch in September 2024, Acre has seen its community expand dramatically from 6,000 to over 36,000 active members, reflecting a strong demand for Bitcoin-centric DeFi solutions. The platform’s Total Value Locked (TVL), which represents the total amount of assets locked in a DeFi protocol, has crossed the $100 million mark in BTC, showcasing robust user engagement.

The recent funding round attracted notable investors like Draper Dragon, Big Brain Holdings, and Orange DAO, alongside key angel investors from established DeFi projects such as Threshold Network, Lido, EigenLayer, Wormhole, BoB, Thesis, VVV, and Quantstamp. Their participation signals a strong confidence in Acre’s vision to revolutionize Bitcoin holders’ ability to engage with their assets.

Acre’s dApp stands out with its commitment to full asset control, onchain transparency, and community engagement via the Acre Points Program. These features resonate well with Bitcoin’s core principles, ensuring that users can participate in DeFi without compromising on security or sovereignty. For those unfamiliar, compounding in this context means earning interest on your Bitcoin over time, allowing your assets to grow.

Looking forward, Acre plans to integrate with Layer 2 networks, which are solutions designed to enhance Bitcoin’s scalability and functionality, enabling faster and cheaper transactions. This integration, along with connections to decentralized insurance protocols and other DeFi applications, aims to broaden the opportunities for Bitcoin holders to grow their assets securely.

Laura Wallendal, CEO and co-founder of Acre, shared her enthusiasm about the platform’s potential impact:

“This investment reflects both the strength of our community and Acre’s potential to reshape how Bitcoin holders engage with their assets. Bitcoin is the original DeFi, and Acre empowers BTC holders to participate in decentralized opportunities without needing to learn new chains or compromise on security.”

Jakov Buratović, a contributor to Lido DAO, emphasized the need for straightforward DeFi solutions:

“Acre is delivering exactly what the DeFi ecosystem needs—simple, secure solutions that make it easy for holders to put their BTC to work.”

While the promise of Bitcoin-native compounding is exciting, it’s important to acknowledge the inherent risks in DeFi, such as impermanent loss, which occurs when the value of deposited assets changes compared to when they were first added to a liquidity pool. Acre’s focus on transparency and security is crucial in navigating these challenges and safeguarding user assets.

Compared to other Bitcoin-centric DeFi platforms like those on Stacks, Acre offers a unique blend of simplicity and adherence to Bitcoin’s principles. Its Bitcoin-in, Bitcoin-out approach simplifies the process, allowing users to compound their Bitcoin directly without converting it into other assets. As the DeFi landscape evolves, Acre’s focus on this niche could position it as a leader, especially with the trend towards blockchain interoperability on the horizon. For more information on the latest developments in Bitcoin compounding and DeFi integration, check out this insightful article.

While Acre’s platform promises exciting opportunities, it’s essential to keep a critical eye on such developments. Some might argue that a focus solely on Bitcoin could limit Acre’s potential compared to multi-asset platforms. Yet, for those who value Bitcoin’s ethos, Acre’s model is a compelling choice. For discussions on Bitcoin-native DeFi solutions, visit Quora.

Key Takeaways and Questions

• What is Acre’s main offering?

  Acre’s main offering is a Bitcoin-native platform that allows BTC holders to compound their Bitcoin securely while maintaining full control of their assets.

• How much funding did Acre raise in its recent round?

  Acre raised $4 million in its recent strategic funding round.

• What is the current valuation of Acre?

  Acre’s current valuation is $90 million fully diluted.

• What are the key features of the Acre dApp?

  The key features include full control of assets, onchain transparency, and the Acre Points Program for community engagement.

• How has Acre’s community grown since its launch?

  Acre’s community has grown from 6,000 to over 36,000 active members since September 2024.

• What are Acre’s future plans for expansion?

  Acre plans to integrate with Layer 2 networks, decentralized insurance protocols, and other emerging DeFi applications to expand opportunities for Bitcoin holders.

• What is the significance of Acre’s Bitcoin-in, Bitcoin-out model?

  The Bitcoin-in, Bitcoin-out model simplifies the process of compounding directly in BTC, allowing users to participate in DeFi without needing to convert their Bitcoin into other assets.

• How does Acre align with Bitcoin’s core principles?

  Acre aligns with Bitcoin’s core principles by emphasizing user control, onchain transparency, and the ability to compound BTC without relying on centralized custodians.

• What role do the investors play in Acre’s development?

  Investors such as Draper Dragon, Big Brain Holdings, and Orange DAO, along with key angel investors, provide financial support and likely strategic guidance to help Acre grow and expand its ecosystem.

• Why is Acre’s launch significant for the DeFi ecosystem?

  Acre’s launch is significant because it introduces a Bitcoin-native solution that empowers BTC holders to participate in DeFi securely and transparently, potentially reshaping how Bitcoin is used in decentralized finance.