Chinese DeFi platform dForce raises $1.5 million in a seed round led by Multicoin Capital

dForce, a multi-application financial platform has raised a seed round led by Multicoin Capital with participation from Huobi Capital and Chinese Merchant Bank International, one of the largest banks in China. Currently, dForce is the seventh-largest DeFi protocol in terms of value locked as a result of its core product lendf.me, a money market protocol that supports an array of stablecoins as well as ETH and wrapped versions of Bitcoin. dForce also provides USDx, a meta-stablecoin, and is working on other various DeFi applications such as decentralized exchanges and derivatives trading.

Why it matters

• Most prominent DeFi projects have been focused on the Western markets. dForce’s plan is to hyper-localize in China to serve as the one-stop-shop for a user’s every DeFi need. Since liquidity is arguably the differentiating factor between various DeFi protocols, if dForce is able to achieve a critical mass in China, it could begin to more aggressively compete with the larger players.
  
• Existing DeFi applications have been primarily focused on one particular application. Their modularity has allowed them to be integrated to create altogether new use cases. However, each protocol still exists separately from others often with their own respective token. dForce looks to take a different approach by uniting these different uses under one native token in order to increase the network effects and interoperability of the network as a whole.