Polymarket buys DeFi startup Brahma in latest acquisition wave

“Building reliable infrastructure across blockchain networks and traditional financial rails is hard,” said Polymarket CEO Shayne Coplan.

Blockchain prediction markets platform Polymarket is acquiring Brahma, a crypto startup that provides decentralized finance (DeFi) infrastructure.

“As part of this transition, our team will dedicate itself to evolving Polymarket’s stack and product suite,” Brahma stated in an announcement on Wednesday.

Brahma, founded in 2021, says it has processed over $1 billion in volume and may be used by Polymarket to reduce friction around wallet creation, deposits, and token redemptions.

The acquisition could also bring more liquidity to niche, low-volume prediction markets on Polymarket. 

“Building reliable infrastructure across blockchain networks and traditional financial rails is hard—there are no shortcuts,” Shayne Coplan, founder and CEO of Polymarket, told Fortune.

He added that the Brahma team has shown it can design, operate and scale complex products for sophisticated users. Financial details of the acquisition were not disclosed at the time.

In its four years of operation, Brahma has developed three main products: Strategy Vaults for automated DeFi strategies; Brahma Accounts, smart accounts for DeFi users; and Swype.fun, a Visa card linked to DeFi positions for real-world spending.

The firm stated that each product will be wound down over the next 30 days as the acquisition proceeds.

Related: Prediction markets boom on Iran bets as Congress eyes ban

Polymarket has quickly grown to a reported $20 billion valuation amid rapid growth in prediction markets. 

Polymarket has continued to invest in expansion despite a broader crypto market decline and a surge in interest in AI.

The company announced on March 10 that it was partnering with Palantir Technologies and TWG AI to develop an AI-powered sports integrity platform. 

It also acquired Y Combinator-backed startup Dome in February, which provides developer tools for prediction markets, and Lunch, a boutique firm specializing in recruiting and assembling teams for tech startups. 

However, the platform has faced resistance across the globe, most recently in Argentina, over its unregulated gambling markets and war bets.

Magazine: Metaplanet’s Japan Bitcoin bet, Bithumb ordered suspension: Asia Express

Source: CoinTelegraph