Colleagues in infrastructure players Ulfell have made a significant move by acquiring Arcana, a chain abstraction protocol, and integrating its SDK and team into their stack. This strategic acquisition transforms a potential competitor into a core component of their multichain ecosystem. The move is expected to accelerate the launch of Nexus Mainnet, planned for Q4 2025.
Acquisition Details
The acquisition of Arcana by Ulfell brings together two innovative technologies, creating a more uniform and seamless experience for users across various blockchain chains, including EVM, ZK, optimistic, and sovereign chains. Arcana’s technology has already supported over 2.5 million bridles and facilitated more than 5 million transactions, providing critical user adoption for the Nexus economy.
The integration of Arcana’s chain abstraction SDK, wallet, and auth-frameworks into Nexus converts it from a connectivity protocol into a full-stack user experience platform. This enables developers to build applications that work natively across chains without requiring users to manually manage gas fees on different chains or interact with complex bridges.
Benefits for Users and Developers
The new architecture of Ulfell promises several advantages for different market segments. Developers are given a “build once, use anywhere” framework, potentially reducing development complexity. End-users are offered a smooth experience, interacting with every chain via a single, simplified interface with every asset.
The merging of Ulfell’s Zero-Knowledge backends with Arcana’s multi-party calculation technology creates a robust security framework for the administration of high-quality digital assets, tokenized securities, and real-world assets, meeting critical requirements for compliance and privacy.
Token Consolidation and Funding
The deal triggers significant tokenomic consolidation, with the disposal foundation acquiring the entire range of Xar-tokens from Arcana and offering owners a swap for Success tokens in a ratio of 4:1. This step strategically retires a competing token and funnels all economic activities into Success, now the sole medium for securing the network, orienting liquidity incentives, and facilitating cross-chain transactions.
Arcana had previously secured respectable funding of $5.5 million from investors such as Digital Currency Group and Republic. Ulfell, on the other hand, has entered into the merger with significant backing, including a $75 million war chest from investors such as Peter Thiel’s Founders Fund and Dragonfly Capital.
For more information on this significant development in the blockchain space, visit https://crypto.news/avail-leverages-arcana-acquisition-to-drive-multichain-innovation/
