Infinity Exchange, a DeFi lending protocol, raised USD 4.2 million in seed funding led by GSR, SIG, CMS, C-Squared, and Flow Traders. 

The company plans to use the funding to grow its employee base and develop its product offerings, including fixed and floating rate markets, as well as futures and spot trading markets.

Analyst Quicktake: This news comes just a day after Compound , a large DeFi lending protocol that has over USD 2 billion in total locked value, announced new lending features for institutional borrowers. It follows a recent trend of DeFi players beginning to offer institutional lending services such as Aave , Anchorage , and Maple Finance , the latter of which announced a USD 40 million lending pool for institutional borrowers last month. Infinity Exchange aims to differentiate itself by offering a full yield curve that enables liquidity to flow evenly across all maturities and the ability for users to deposit “complex tokens” such as Aave’s aToken, or Compound’s cTokens and borrow against them.