Decentralized protocol Babylon raises $15 million, led by a16z Crypto.

PANews reported on January 7 that, according to Fortune magazine, Babylon, a decentralized protocol co-founded by Stanford University professor David Tse, has completed a $15 million funding round. The round was led by a16z Crypto, a subsidiary of Andreessen Horowitz. The project's valuation was not disclosed.

Babylon has developed a protocol called BTCVaults, designed to allow Bitcoin holders to directly use their Bitcoin as collateral without going through third parties such as exchanges or stablecoin issuers, while retaining control of their assets. The protocol is planned to integrate with the lending protocol Aave in the second quarter of 2026. Tse states that its goal is to leverage cutting-edge technology to help users bypass intermediaries and generate returns more directly from their Bitcoin assets. Founded in 2021, Babylon currently has a team of over 40 people and has not yet generated revenue.