Web3 authentication and authorization platform Dynamic Labs on Wednesday announced that it's raised $13.5 million in a round led by a16z and Founders Fund.
The two-year-old company, founded by MIT grads Itai Turbahn and Yoni Goldberg, now the CEO and CTO respectively, offers tech for crypto and non-crypto companies alike to create seamless login experiences backed by digital wallets.
The firm's wallet-based business is twofold. It offers a customizable all-in-one service that can either push the crypto wallet technology to the background for less savvy users or put it front and center for Web3 natives. Customers of Dynamic Labs include the NFT company Doodles and the blockchain analytics platform Flooz.
Wednesday’s raise builds on a previous a16z-led seed round of $7.5 million in 2022. Turbahn told Fortune that the bulk of the new funds would be put toward hiring engineers, with some also dedicated to marketing.
Arianna Simpson, a general partner at a16z, said in a Wednesday blog post that Dynamic’s technology is key for companies that want to streamline Web3 onboarding.
“We've long believed that smoother onboarding and auth would become the norm, and it's a problem the Dynamic team has been tackling head-on,” Simpson wrote.
Although for most of the year, barring a recent resurgence in Bitcoin, crypto prices have been largely stagnant, Turbahn said the company hasn't experienced a slowdown in customers, with some 1.6 million people interacting with its technology via customers' products. And that figure, he added, should keep growing.
"We fundamentally believe," he said, "that if you fast-forward five years, everything turns into a wallet."
