Orca’s TVL Continues to Increase With Yield Incentives and VC Interest

Orca’s TVL grows more than threefold after closing an $18 million Series A funding round earlier this month.

By
Anirudh Tiwari
on
September 30, 2021
Category:
Breaking News

Venture Capital Funding pushes Orca forward

Orca, a decentralized exchange (DEX) based on the Solana blockchain, has shown enormous growth in total value locked (TVL) just as this month closed out. The TVL has grown more than three times from approximately $220 million on Sep. 21 to $701.27 million on Sep. 30.

Earlier this month on the same day that the explosive growth for their TVL began, the DEX raised $18 million in a Series A funding round. This round was led by venture capital (VC) firms, Three Arrows Capital, Polychain Capital, and Placeholder VC. In addition to these VCs, this round was also supported by Sino Global Capital, Coinbase Ventures, Zee Prime Capital, Solana Capital, and Jump Capital amongst others.

“Orca is focused on a human-centered approach, making the ever-growing, complex world of DeFi simple enough for any user to approach and interact with. Great user experience makes it easy to onboard new users and bring them back repeatedly,” said Sino Global Capital, on a Twitter thread that elaborately explains why the VC firm invested in Orca.
Source: Orca Total Value Locked (TVL) Trend

The platform uses features like Fair Price Indicator to achieve the objective of the best user experience. This indicator shows the variance between the price quoted by Orca and the price maintained by platforms like CoinGecko. This could help investors to gauge whether prices move within the expected range during their trades.

User-friendly interface key to Orca’s growth

The automated market maker (AMM) is currently enormous and is highly competitive with many DEXs fighting for the top spot across various ecosystems. Thus, to differentiate from the existing market and possibility gaining market share, it’s critical for a DEX to have a unique user proposition (USP) that’s attractive for users. For Orca, this USP is its user-friendly interface.

“Every AMM has the same concept to create this virtuous cycle. Orca stands out here through their superior user experience. It is incredibly easy to be a liquidity provider on Orca; all you need is equal parts of tokens for the desired pool, click deposit and it’s done,” mentioned Sino Global Capital on the same Twitter thread.

Providing liquidity on the DEX for liquidity providers (LPs) is noted to be extremely convenient. Along with being convenient, it’s also highly incentivized. The platform allows investors to provide liquidity on AquaFarms to earn ORCA tokens in returns along with a share of the trading fees. Users can provide liquidity across a variety of stablecoins and Solana (SOL) with current projected yearly returns ranging from 12.4% to 384%.

Source

As a part of the Fall Festival announced by Orca, the DEX introduced a single-sided staking pool for ORCA tokens, the native token of the platform. This allows users to earn rewards in ORCA with single token deposits without worrying about impermanent loss. Starting on Sep. 28, users were able to deposit tokens in a staking pool to earn $ORCA rewards from the platform’s Treasury.

About Orca

Orca is a decentralized exchange (DEX) based on the Solana blockchain. It’s designed to be “for people, not programs.” It is built with a Wave One grant from the Solana Foundation. Its recent introduction of liquidity pools and staking has increased its user proposition within the Solana ecosystem.

For more information about Orca:

Website | Discord | Twitter | Telegram | Medium |

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Anirudh Tiwari

Anirudh is a cryptocurrency analyst and writer who specializes in derivatives, DeFi, regulations and CBDCs. He has a Master’s degree in Finance. Before delving into crypto, he worked with a leading U.S. based investment bank. Apart from work, he is a music connoisseur and likes to play the drums.