Startup Torus, which develops solutions for private key management, has closed the $2 million fundraising round, CoinDesk writes. The campaign was led by Multicoin Capital, with Coinbase Ventures, Sixth Horizon, Accomplice, Terminal and Binance Labs among others, who invested $500,000.
According to Multicoin partner Kyle Samani, Torus solves "one of the most critical problems slowing down the spread of web3" - the management of private and public keys.
In order to avoid additional difficulties, many users cryptocurrency shift the function of key management to third-party services, such as stock exchanges. However, from time to time they are subject to hacker attacks that cause users to incur millions of dollars in losses.
When we wanted to introduce our friends into the cryptocurrency ecosystem, they loved the idea of decentralization," said Torus CEO Yu-Young Zhen. - But it has not been easy for them to start using decentralized applications and interact with blockchains. They had to deal with many complex concepts, such as private and public keys. We wanted to get rid of all this for new users.
Torus provides a key management solution in which critical information is broken down among multiple servers using a chardingger method, making the task of hackers even more difficult. Startup says that his tools can be mastered by anyone who has experience of interacting with web2 applications, such as Google and Facebook.
Torus initially received funding from Binance Labs in September. The project launched a beta test for Ethereum users earlier this year and is currently working on tools for other large blockchains, including Tron and EOS.