Lumina Fundraising Announcement
Strategic Investment from Mina Foundation, Jump Crypto, Big Brain Holdings, and O(1) Labs to Enable Compliant & Private DeFi on Mina Protocol
Lumina, a new enterprise-ready DEX and DeFi platform, is pleased to announce the close of a strategic investment round from Mina Foundation, Jump Crypto, Big Brain Holdings, and O(1) Labs to build a hybrid permissioned and permissionless DEX on Mina Protocol with integrated KYC. By building on Mina’s zero knowledge-powered layer-1 blockchain, Lumina aims to capture the growing institutional interest in DeFi via fully compliant trade execution that also preserves user privacy. This design allows enterprise and retail users to exchange a variety of assets in a fair and transparent environment.
What Lumina offers
Lumina is designed to address the challenges faced by traditional decentralized exchanges (DEX), such as lack of regulatory compliance, maximal extracted value (MEV) front-running, and limited scalability.
Lumina’s objective is to meet the increasing demand from enterprises and financial institutions for private and permissioned DeFi solutions, and the closing of this strategic round puts us in a position to deliver on this.
We chose to build on Mina due to the layer-1’s unparalleled strengths in zero knowledge (ZK) technology, developer toolkits based in TypeScript, and capabilities for enabling compliance, data privacy, and exponential scalability. We know how important these components are for institutions and look forward to meeting this demand with the launch of our DEX and DeFi stack.
How Lumina works
One of the challenges faced by DEXs is ensuring compliance with Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations, while maintaining user privacy. Lumina solves this challenge by offering permissioned liquidity pools that utilize ZK proofs to enforce access. This enables pool creators and users to ensure compliance with KYC and AML regulations while maintaining user privacy.
The Lumina litepaper outlines the key technical features and benefits of Lumina in more detail, including how Lumina i) creates private DeFi pools using multi-party computation powered by zkSNARKS, ii) enables permissioned liquidity pools with zkKYC, and iii) ensures MEV resistance.
Privacy via zkSNARKs - ZK technology can be used to verify the accuracy of a transaction without revealing the underlying data. This means that the Lumina platform can verify the identity of users and transaction information without publicly revealing anything to other users, thus maintaining their privacy. Users benefit as the size of Lumina’s privacy set increases with adoption.
Compliance via zkKYC - ZK technology enables Lumina to verify the identity of users while maintaining their privacy. Users can prove their identity or credentials without revealing their personal information, and thus gain access to permissioned trading pools meant only for certain users. This means that each participant in such pools have provided ZK attestations proving they have been KYC’d by a service provider, therefore preventing a bad actor from being associated with such pools.
Scalability and MEV Resistance - an added feature of ZK technology are recursive proofs and rollups, which enable Lumina to scale transaction throughput. And because users can submit transactions without revealing their transaction data pre-trade, Lumina achieves MEV resistance, which is one of the biggest challenges faced by many DEXs. Thus Lumina can maintain a fair and transparent trading environment for institutional and retail users.
Stay up to date
Lumina solves a number of challenges faced by traditional decentralized exchanges, by allowing permissioned liquidity pools and compliant privacy powered by zkKYC and zkSNARKs. Lumina is highly scalable, efficient, and maintains user privacy while complying with KYC and AML regulations. With Lumina, enterprise and retail users can trade a variety of assets in a fair and transparent environment.
Stay up to date with Lumina’s progress using the following links:
Lumina Twitter | Lumina Telegram | Lumina Website | Lumina Newsletter
Disclaimer: DeFi is a new technology that comes with risk of loss. Statements may be forward-looking and are not intended as guarantees of future performance.
