Automated Market Maker (AMM) Saddle Finance has raised $4.3 million in a seed funding round, according to an announcement made on Jan. 19.

• Framework Ventures, Polychain Capital and Electric Capital led the $4.3 million funding round for Saddle Finance, which is a startup that has come out of a16z’s Thesis project incubator
• Other investors include Coinbase Ventures, Dragonfly Capital and Alameda Research
• The AMM aims to reduce slippage costs in the DeFi market, which is the cost incurred from an executed trade and the expected price of the trade
• Saddle Finance will use Synthetix’s assets, and is focusing on “unlocking deep on-chain liquidity for pegged value crypto assets”
• The funding round is accompanied by a launch of the AMM on the mainnet; the first liquidity pools are renBTC, WBTC, sBTC and tBTC, with stablecoins and ETH pools to be introduced in the near future
• Liquidity providers are paid out in KEEP tokens, with 125,000 tokens dedicated as payout every week
• Saddle Finance has been audited by Certik, Quantstamp, and Open Zeppelin