OP_NET, a protocol developing smart contract functionality on Bitcoin’s base layer, has closed a $5 million equity funding round. Further Ventures, based in Abu Dhabi, led the investment, with participation from Anagram, Arcanum Capital, Humla Ventures, Morningstar Ventures, G20 Ventures, and UTXO Management.
Project Overview
OP_NET operates as a Bitcoin Layer 1 extension, enabling smart contracts through technologies like Tapscript and WebAssembly without forks or sidechains. Its documentation outlines support for token standards such as OP_20 and OP_721, alongside features for swaps, staking, and NFTs using native Bitcoin transactions. The protocol uses Bitcoin for gas fees and aims for a mainnet launch on March 17, 2026, as stated in the company’s materials.
This positions OP_NET within Bitcoin infrastructure efforts to add programmability, competing with metaprotocols and Layer 2 solutions. Founders Frederic Fosco and Samuel Patt, with backgrounds in Bitcoin development and trading, emphasize preserving self-custody and unlocking BTC liquidity for DeFi applications.
Lead Investor Details
Further Ventures, the venture arm of Abu Dhabi’s ADQ sovereign wealth fund, focuses on digital assets and financial infrastructure. The firm has backed projects like wallet provider DFNS in a $16 million Series A and DEX Grvt in related rounds. Participants like Arcanum Capital, supported by Tether for its Fund II targeting Bitcoin ecosystem and Web3 infrastructure, bring expertise in blockchain protocols.
Stated Use of Funds
The company plans to deploy the capital toward completing Bitcoin L1 infrastructure, including the scheduled mainnet rollout. OP_NET’s official resources highlight ongoing development of node incentives, consensus mechanisms via SHA-1 puzzles, and client libraries for developers.
Market Context
Bitcoin infrastructure funding persists amid broader crypto capital inflows, with institutional interest growing via ETFs holding over $200 billion in assets. Comparable raises include early-stage bets on Layer 1 enhancements, though 2026 trends emphasize staking strategies and tokenization over pure smart contract platforms. OP_NET’s funding also reflects broader web3 fundraising updates, where investors continue backing projects expanding Bitcoin’s programmability and DeFi potential.
