Liminal raises US$4.7mn for its crypto wallet architecture

Liminal, a fintech that provides self-custody for digital assets, has raised US$4.7mn in seed funding led by Elevation Capital.

Founded in 2021 by Mahin Gupta, Liminal offers a simple and efficient way to secure digital assets. Its automated wallet solution makes it easier for crypto-native businesses, SMEs and Web3 startups to manage their workflows across different blockchain protocols, saving them significant development cost overhead.

The startup bills itself as “the first wallet architecture to provide the MPC and MultiSig to secure digital assets across different blockchains”. The result, it says, eliminates manual operations by 90% and saves on manual refill hours.

Since inception it has already processed over US$2.5bn’s worth of transactions, automated transactions worth US$400mn and had around US$50mn in assets under protection.

As well as Elevation Capital, the seed funding round also included LD Capital, Woodstock, Nexus Ventures and a number of crypto-focused ventures and angel investors. Founder Mahin Gupta says the money raised will go towards hiring and product development.

Liminal ‘bringing security and comfort’ to crypto space

“With Liminal, we solve the very real problem of securing and scaling digital assets where users have to use different wallets and infrastructure for different protocols,” Gupta explains. “Our three layers provide key management, operational automation, and compliance for enterprises.”

Vaas Bhaskar, Principal at Elevation Capital, says: “Rapid adoption of digital assets is going to be driven by multiple new-age crypto businesses and institutions. These businesses are increasingly demanding plug-and-play custody solutions that are built taking their unique needs into account, including security, regulatory readiness, and operational efficiency. We have been very impressed with Mahin and his team’s customer obsession and knowledge of this space. We are thrilled to partner with Liminal on this journey.”

Himanshu Yadav, Founding Partner at Woodstock, adds: "With a team of veterans that have already made waves in the Web3 landscape in the past, Liminal is bringing security and comfort to individual and institutional self-custody with its digital assets custody solution. We are delighted to support them in their journey to [be] one of the most prominent names in the security and custody sector."

Gupta building a team with ‘extensive real-world experience’

As well as impressive usage credentials, Liminal already boasts clients including ZebPay, DIFX and Flitpay despite being just a year into business. The fintech will use the US$4.7mn raised to hire and develop the product further; it is currently focused on expanding into APAC and MENA where it wants to dominate the automated wallet infrastructure operation space.

Gupta is himself an experienced player in the world of cryptocurrency, described by Liminal as “a serial entrepreneur”. He co-founded crypto exchange ZebPay before building India’s first blockchain company, BuySellBitco.in. He then founded Liminal last year.

He is surrounding himself with top talent in a bid to scale Liminal. Andreas Antonopoulos, who is providing advice and mentorship to the company, says they have “an impressive record and extensive real-world experience in custody, key management, and security”.

In a statement, Liminal explains the nature of the challenge they’re trying to address: “The primary concern regarding digital asset security is maintaining the safety of the keys while adhering to compliances. If this key is misplaced or lost, it could mean huge losses for the owners, whether individuals or businesses. This is why digital asset custody is of great value. Once investors are assured about the safety of their keys, it will mean more people gain trust in the cryptocurrency and related applications like Web3 commerce and DeFi. Liminal Key is insured by one of the most trusted and reputable global insurers, making it a company that is future-ready.”