Movement Labs eyes $100m funding round at $3b valuation

San Francisco-based blockchain developer team Movement Labs is set to close a $100 million funding round as the company seeks new capital in the resurgent crypto market.

The Series B round will value the blockchain developer behind Movement, an integrated blockchain network and layer 2 of Ethereum (ETH), at $3 billion, Reuters reported Jan. 8.

Crypto-focused venture capital firm CoinFund led the financing round with participation from London-based investor Brevan Howard. Investors in the round are expected to receive both equity and Movement (MOVE) tokens.

The movement’s significant capital raise highlights the investment world’s growing interest in crypto startups. Key factors include the US in particular embracing a more pro-crypto environment and bullish market sentiment, as well as easing regulatory pressure. Macro factors such as declines in interest rates have also encouraged venture capital firms to support blockchain innovation with large investments.

The $100 million in funding for Movement Labs was added to the $38 million raised in April 2024. The Series A round, led at the time by Polychain Capital, was aimed at funding the company’s attempt to bring Facebook’s Move language to Ethereum.

Founded in 2022, Movement Labs focuses on solutions to smart contract vulnerabilities and improving transaction efficiency in the Ethereum ecosystem. The blockchain offering includes a zero-knowledge layer 2 network designed to improve parallelization and smart contract security.

The company plans to use the new funding to expand its product offering, grow its presence in the Asia-Pacific region and hire new talent. The movement previously raised $3.4 million in a pre-seed round in September 2023 and recently launched its native token, MOVE.