SxT Labs Raises $20M to Advance Blockchain and AI Integration

SxT Labs, a company focused on integrating artificial intelligence with blockchain technology, has successfully raised $20 million in its Series A funding round, led by Framework Ventures.

Investment Partners

The funding round saw participation from several notable venture capital firms, including:

• Lightspeed Faction
• Arrington Capital
• Hivemind Capital
• Microsoft’s M12 Ventures
• OKX Ventures
• DCG
• F-Prime Capital
• Circle Ventures
• Alumni Ventures

With this latest investment, SxT Labs has raised a total of $50 million to further its engineering and product development efforts.

Innovative Technology Development

Over the past two years, SxT Labs has been developing its proof-of-SQL technology, which is a zero-knowledge (ZK) circuit. This technology enables smart contract developers and businesses to verify the integrity of data. In the decentralized finance (DeFi) sector, for example, it can assess the reliability of borrowers using real-time data or monitor asset performance.

The company’s data warehouse is designed to analyze both indexed blockchain data and centralized databases through SQL queries, facilitating the verification of data and operations both on-chain and off-chain.

Performance Metrics

Since its beta launch in April 2023, the proof-of-SQL stack has processed over 5.3 billion database requests, averaging 500,000 queries monthly. OKX Ventures reports that this technology has generated more than $4.5 million in annual recurring revenue and can be indexed on major blockchain networks, including:

• Ethereum
• Bitcoin
• ZKsync
• Polygon
• Sui
• Aptos
• Sei

Industry Context

The blockchain sector is experiencing a surge in protocols that aim to enhance on-chain infrastructure, attracting more institutional interest. For instance, Pi Square is also working on a ZK Circuit intended for a universal settlement layer for blockchain transactions, recently securing $12 million in funding led by Polychain Capital.