Ground raises $3.6M in pre-seed funding for on-chain yield infrastructure

Ground, a startup developing on-chain yield infrastructure, has raised $3.6 million in a pre-seed funding round, as reported by The Block. The round was co-led by Bain Capital Crypto and ParaFi Capital, with additional participation from Nascent, Robot Ventures, Chapter One, and Consonant Ventures. The company has not disclosed the specific use of the funds.

Building the backbone for DeFi yield

Ground is building infrastructure designed to help decentralized finance (DeFi) protocols and applications manage, optimize, and distribute yield more efficiently. As the DeFi ecosystem matures, the need for specialized middleware that handles complex yield strategies, risk management, and automated distribution has grown significantly. Ground aims to provide a reliable layer that protocols can integrate to streamline these operations without building bespoke solutions from scratch.

The pre-seed round, co-led by two prominent crypto-focused venture firms, signals strong early interest in infrastructure plays rather than consumer-facing DeFi products. Bain Capital Crypto and ParaFi Capital have both been active investors in DeFi infrastructure, with portfolios spanning lending protocols, liquid staking, and cross-chain interoperability solutions.

Market context and implications

The fundraising comes at a time when DeFi protocols are increasingly focused on sustainability and real-world utility. After the speculative boom of 2021–2022, the sector has shifted toward building robust, scalable infrastructure that can support institutional adoption. Yield infrastructure, in particular, has become a critical component as protocols seek to offer competitive returns while managing risk in volatile market conditions.

Ground’s approach addresses a specific pain point: many DeFi protocols currently rely on manual or semi-automated yield management, which can be inefficient and error-prone. By providing a dedicated infrastructure layer, Ground could help reduce operational overhead and improve yield consistency for protocols and their users.

What this means for the DeFi ecosystem

The involvement of investors like Bain Capital Crypto and ParaFi Capital suggests that institutional capital continues to flow into foundational DeFi infrastructure, even as retail interest fluctuates. For developers and protocol founders, Ground’s infrastructure could lower the barrier to entry for offering sophisticated yield products, potentially accelerating innovation in areas like real-world asset tokenization and on-chain credit markets.

Conclusion

Ground’s $3.6 million pre-seed round, backed by established crypto venture firms, underscores the growing importance of specialized infrastructure in the DeFi ecosystem. While the company has not yet detailed its product roadmap or go-to-market strategy, the funding provides a strong foundation for building a platform that could become a key component of the on-chain financial system.

FAQs

Q1: What does Ground’s on-chain yield infrastructure do?
Ground builds middleware that helps DeFi protocols manage, optimize, and distribute yield automatically. It handles complex yield strategies and risk management so protocols don’t have to build these systems themselves.

Q2: Who led Ground’s pre-seed funding round?
The round was co-led by Bain Capital Crypto and ParaFi Capital, with participation from Nascent, Robot Ventures, Chapter One, and Consonant Ventures.

Q3: Why is this funding round significant?
It reflects continued institutional interest in DeFi infrastructure rather than consumer-facing products, and it highlights the growing need for specialized middleware as the DeFi ecosystem matures and seeks institutional adoption.