This week, Blum, the telegram-based cryptocurrency trading platform, announced the completion of its seed funding round.
Announcing via X post on 12 Feb, Blum has received $5 million in pre-seed and seed funding, with major investment coming from the prominent VC firm, Gumi Cryptos. Other funders included YZi Labs, Spartan Capital, OKX Ventures, Wintermute, No Limit Holdings, and Bitscale. This comes after in September, it received an investment from Binance Labs, one of the largest cryptoexchanges, Binance’s venture capital firm.
Blum is set to use the $5M funding to fuel his 2025 vision of providing its 90M+ users a seamless and innovative trading ecosystem. Currently available across over 30 Blockchain networks, including Ethereum, Solana, Binance Smart Chain, and TON, its hybrid exchange model allows users to trade tokens seamlessly without the need to switch between multiple platforms.
Blum has secured $5M in pre-seed and seed funding, paving the way for the future of trading for our 90M+ users! 🌍✨
Led by @GumiCryptos and backed by @yzilabs, @TheSpartanGroup, @nolimithodl, @OKX_Ventures, @topdotco, @BitscaleCapital, and @wmt_ventures, this funding fuels our… pic.twitter.com/aohxybr7ee
— Blum (@blumcrypto) February 12, 2025
Blum to use funding for
Founded by former Vice-president at Binance, Gleb Kostarev acting as CEO and one of the co-founders, Blum since its launch in July last year has grown in both popularity and user base. With its telegram-based trading bot designed specifically for Gen Z and millenials in mind, it has been working towards making crypto trading simple for new and novice users. Its transition from its earlier Tap-to-Earn model to Trade-to-Earn in 2025 is also aimed at incentivising the users.
Now with the received funding, Blum is set to develop and work on:
multi-chain trading bots,
AI-powered Memepad,
Perpetual Futures trading.
The development of multi-chain trading bots will add another layer of functionality and convenience for its users. This would make it easier for traders to access and interact with a diverse set of assets across multiple blockchains.
The AI-powered Memepad platform that it aims to develop further is what currently allows its users to launch their own Memecoins and then trade with ease. The AI tools embedded in it automate the steps involved in creating a new memecoin. This removes the complexity that typically comes with token creation, such as coding smart contracts or deploying them on a blockchain. By developing Memepad, Blum is tapping into the growing trend of memecoins and community-driven projects, which have become a significant part of the cryptocurrency landscape.
Blum to become the full-fledged DEX?
In November last year, Blum also recieved an investment from The Open Platform (TOP), a venture builder in Telegram’s TON ecosystem. As the TON currently lacks a major Decentralised Exchange (DEX), Blum using its Telegram-based trading and Trade-to-Earn feature can complete the vacuum in TON’s need for a major DEX. Its vision of expanding its trading services beyond TON can accelerate its development into a full-fledged decentralised exchange. This will allow users to swap not only tokens available on TON but across-chains.
There are certain challenges too. Currently, Blum is more of a hybrid platform that integrates multiple blockchains and allows users to trade across them. To become a true DEX, Blum would need to operate on decentralized governance and infrastructure, ensuring that there’s no central authority controlling the platform. While Blum aggregates liquidity across different chains, it would need to establish deeper liquidity pools, and facilitate both automated market makers (AMMs) and possibly order book-based trading to appeal to a wide variety of traders.
Thus, as Blum also seeks to expand to wider and diverse markets including APAC – as highlighted by one of its co-founders – Blum’s evolution into a developed DEX and its efforts at making crypto trading simple is something that must be closely monitored.
Disclaimer: The content may include the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
