Five Bells Secures Seed Funding for Native Bitcoin DvP Settlement Layer

Five Bells, a startup co-founded by former executives from NYDIG and Two Sigma, has successfully closed its seed funding round. The round was led by Ego Death Capital, with participation from Epoch VC, Timechain, and Fulgur Ventures.

The company is developing what it describes as the "first native Bitcoin DvP settlement layer." This innovative solution aims to mitigate counterparty risk for institutional investors engaging in large-scale Bitcoin transactions. Five Bells' approach allows parties to pre-lock settlement terms on-chain. Bitcoin is secured in a custody-like mechanism, and settlement is automatically executed once fiat wire transfers or stablecoin payments are confirmed, thereby reducing operational friction and costs. The technology leverages Taproot FROST contracts, utilizing the Bitcoin network as a neutral trust anchor.

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