Lava Network secures $12M to tackle blockchain data bottlenecks
Lava Network secures $12M to tackle blockchain data bottlenecks
With its LAVA token launch, the blockchain infrastructure provider aims to streamline data access for AI agents and decentralized applications.
Lava Network, a blockchain infrastructure protocol, has announced the completion of a $12 million fundraising round. The funding, which included iAngles, Animoca Brands, Gate.io Ventures, CoinGecko Ventures, Polygon co-founder Sandeep Nailwal, and others, will help Lava expand its infrastructure, which facilitates data access across more than 40 blockchain networks. The company also revealed plans to launch its LAVA token on major cryptocurrency exchanges, including Bybit, on Thursday.
Blockchain networks process hundreds of billions of RPC (remote procedure call) and API requests daily, driven by applications, human users, and increasingly, AI agents. These requests enable transactions and data exchanges across platforms such as Bitcoin, Ethereum, and Solana. However, the current system often relies on individual data providers, creating significant bottlenecks—particularly for AI agents that operate continuously. Lava Network aims to address these challenges by aggregating multiple providers to ensure uninterrupted, decentralized access to blockchain data.
Lava’s platform is built to support developers and applications with secure, fast, and permissionless access to blockchain networks. It currently manages over 100 billion transaction requests daily for more than one million users and thousands of decentralized applications. The LAVA token, central to the protocol’s operations, orchestrates traffic between data providers and incentivizes service quality by rewarding high-performing nodes.
In a rapidly evolving blockchain ecosystem, AI agents have become a key driver of growth. By 2024, the market for blockchain-integrated AI tools had reached $17.7 billion, with experts projecting that 80% of blockchain transactions will be AI-driven by the end of 2025. Lava’s infrastructure is designed to support this shift, ensuring seamless integration of AI-driven and human activity on blockchain networks.
Lava has been in development for nearly three years. Magma Devs, one of its key contributors, has raised $15 million from prominent investors, including Hashkey, Tribe, and Jump, as well as leading communities and founders from blockchain ecosystems such as Cosmos, Polkadot, Filecoin, and NEAR.
Magma Devs was founded by Yair Cleper and Gil Binder and employs around 20 people.
“Blockchains are digital cities, with their own economy. Humans and AI agents will continue to move onchain, creating a new era of digital commerce. Lava enables that economy to flow freely. With 600m cryptocurrency holders and the total stablecoin market cap at $200B, blockchain traffic is exploding. Lava manages this traffic across 40+ chains, for 1m+ daily users and thousands of apps,” said Yair Cleper, CEO of MagmaDevs.
