Valinor, a blockchain private credit startup, completes a $25 million seed round led by Castle Island Ventures.

ChainCatcher report: Valinor, a blockchain-based private credit startup co-founded by former Blackstone employees, has announced the completion of a $25 million seed round led by Castle Island Ventures, with participation from Susquehanna’s crypto division, Maven11, and the founder of TeraWulf, a bitcoin mining company transitioning into artificial intelligence. Valinor’s core business is digitizing private credit processes on-chain. Traditional private credit firms rely on manual verification and spreadsheet-based workflows to manage facilities such as revolving credit lines. Valinor aims to replace these processes with smart contracts to automate fund routing and conditional execution. Both co-founders bring extensive traditional finance experience, having previously worked at banks and in Blackstone’s private credit division before entering the crypto industry in 2022. Valinor initially focused on lending to crypto companies and later integrated blockchain technology into its lending workflows to improve efficiency. The company has already facilitated loans to several fintech and crypto firms using blockchain technology. Proceeds from this funding round will be used to scale lending operations, expand its customer base, and grow its team, which currently consists of six employees.