Founding team and strategic financing
The founding team and supporting partners are among the most important factors that determine the credibility of any project in the world of cryptocurrencies. The BounceBit project is characterized by having a team with extensive experience in this field, led by the founder and CEO, Jack Lu. Lu has an impressive track record in the decentralized finance sector, being one of the co-founders of Bounce Finance. This background provides the project with a deep understanding of market dynamics and the real needs of users.
In addition to leadership experience, the project received significant financial and strategic support from prestigious investors. BounceBit successfully raised $6 million in a seed funding round led by both Blockchain Capital and Breyer Capital. The round also included a group of influential investment funds such as OKX Ventures, Matrixport Ventures, and CMS Holdings, as well as prominent angel investors in the industry, including Calvin Liu from EigenLayer. This financial support from leading entities reflects great confidence in the project's vision and future potential.
Institutional partnerships as a pillar for growth
While many startups focus solely on technical innovation, BounceBit recognizes that institutional trust and legitimacy are key to long-term growth. This realization is embodied in the strategic partnerships the project has formed with major players in traditional finance. Among these partnerships are those with Franklin Templeton and BlackRock. These partnerships not only provide yields from real-world assets (RWAs) but also enhance the credibility and institutional trust of the project, making it more attractive to investors seeking security and regulatory compliance.
Focusing on partnerships with reliable institutions such as Mainnet Digital for secure custody services reflects the project's commitment to transparency and accountability. This strategic approach directly translates to greater market trust, as evidenced by the total value locked (TVL) that exceeded $545 million early in the project's life.
Competitive position: Comparison with similar projects
BounceBit faces strong competition in the Bitcoin re-storage sector, yet it stands out with its unique position. Unlike projects that operate as "middleware" relying on other networks, such as Babylon which operates on the Cosmos network, BounceBit is an independent Layer 1 blockchain. This fundamental difference gives BounceBit greater control over its infrastructure and flexibility in designing its security mechanisms and economic model.
This comparison confirms that BounceBit is not just a "copy" of the idea of re-storage, but it is a "new model" in itself. By building its own infrastructure and integrating CeFi and DeFi, the project positions itself as a true bridge connecting traditional assets and decentralized innovations, giving it a sustainable competitive advantage and the ability to attract a wider range of investors.