Symbiotic Protocol has raised $5.8 million in a new round of investment

• Symbiotic Protocol has completed a $5.8 million investment round.
• The project attracted capital from venture funds Paradigm and cyber Fund.
• As part of the funding, the team announced a new stage of Symbiotic’s development.

The Symbiotic project has announced the completion of a $5.8 million investment round. The funding was led by venture capital funds Paradigm and cyber Fund.

As part of the round, the team announced the revitalization of the project and a new phase of Symbiotic’s development. The protocol proposed by the developers allows for deposits to support and protect third-party networks, as well as rewards for activity.

Like the EigenLayer restacking protocol, Symbiotic’s closest competitor, the project aims to solve common problems in blockchain development and network security by reallocating existing capital and infrastructure, according to the press release.

According to the developers, the protocol features a flexible and customizable modular design that supports any combination of tokens as collateral with re-bid and allows for the customization of a variety of reward mechanisms.

“Symbiotic’s radically open principles ensure the emergent restaking economy is healthy and self-regulating. By investing in Symbiotic, we not only accelerate the transition to cybereconomy, but also drive the acceleration towards a healthy and more sustainable competitive equilibrium. We are thrilled to partner with Symbiotic on their journey to transform the restaking market,” stated cyber fund representatives.

Unlike EigenLayer, Symbiotic allows the use of various tokens of the ERC-20 standard, not limited to Ethereum. It will be adaptable to different protocols, offering full control over aspects such as asset backing and node operator selection, the statement said.

“Symbiotic’s modular design is highly flexible. It supports any mix of tokens as restaked collateral. Slashing and reward logic is fully configurable,” the project stated.

Several projects in various stages of decentralization are exploring the possibility of using the Symbiotic protocol for their own purposes. The team has announced support and integration of solutions from Ethena, Hyperlane, Marlin’s Kalypso, Fairblock, Ojo, Rollkit and several others.