SpaceComputer raises 10 million! The science fiction of space satellites running on the blockchain becomes a reality.

SpaceComputer is a startup that plans to use satellites to provide secure computing services for Blockchain, having completed a $10 million seed round of financing. The company stated that the funds will be used to establish an orbital network capable of securely processing Blockchain operations from space. This seed round financing was led by Maven11 and Lattice, with the funds being used to build and launch the first batch of satellites for SpaceComputer.

SpaceComputer's Space Blockchain Vision

SpaceComputer plans to establish a satellite-based network to ensure the security of blockchain and cryptographic computing beyond Earth. This vision sounds like science fiction, but under the current technological and business environment, it has become feasible. The commercialization of space has made significant progress over the past decade, with companies like SpaceX dramatically reducing satellite launch costs from tens of thousands of dollars per kilogram to just thousands of dollars today. This has made commercial satellite projects economically viable.

The funds will be used to build and launch the first batch of satellites for SpaceComputer, as well as the secure computing hardware they carry. According to the press release, these satellites, called SpaceTEE units, will run secure Blockchain and cryptographic tasks from space. TEE (Trusted Execution Environment) is a hardware-level security technology that enables sensitive computations to be executed in an isolated environment, preventing external access or tampering.

Deploying TEE on space satellites creates unique security advantages. Ground data centers may be vulnerable to physical attacks, government shutdown orders, or network blockades. In contrast, satellites in space are difficult to physically attack (unless anti-satellite weapons are used), are not subject to the jurisdiction of any single country, and can establish a globally covered network through inter-satellite communication. This characteristic gives SpaceComputer's services high resistance to censorship and availability.

This funding will also be used to establish network software, set up collaborative working methods between satellites, and provide new services such as private computing and secure record keeping. Multiple satellites working together can achieve redundancy and load balancing, ensuring that the network continues to function normally even if some satellites fail or are attacked. This decentralized architecture perfectly aligns with the decentralized concept of Blockchain.

SpaceComputer Technology Core

SpaceTEE Unit: Satellite computing unit equipped with a trusted execution environment

Orbital Network: Multiple satellites working together to provide redundancy and global coverage

Secure Computing: Performing blockchain operations and cryptographic tasks from space

Censorship Resistance: Not subject to the jurisdiction of a single country, difficult to be physically attacked or shut down.

Luxury lineup led by Maven11 and Lattice

This round of seed financing was led by Maven11 and Lattice, with participation from companies such as Superscrypt, the Arbitrum Foundation, Nascent, Offchain Labs, Hashkey, and Chorus One. Individual investors include Marc Weinstein, Jason Yanowitz, and Ameen Soleimani. This lineup of investors carries significant weight in the crypto venture capital circle.

Maven11 is a top European cryptocurrency venture capital fund, focusing on investments in infrastructure and DeFi protocols. Lattice, on the other hand, is an emerging but rapidly growing venture capital fund known for investing in technology innovation projects. The joint lead investment from both firms shows a high recognition of the vision of SpaceComputer.

The participation of the Arbitrum Foundation and Offchain Labs is particularly noteworthy. Arbitrum is one of the largest Layer 2 scaling solutions on Ethereum, and Offchain Labs is the development team behind it. The investment by these institutions in SpaceComputer could signify future technological integration, such as deploying Arbitrum's Sequencer or validators on space satellites, further enhancing decentralization and censorship resistance.

Hashkey, as one of the largest crypto investment institutions in Asia, demonstrates the global layout of SpaceComputer through its participation. Chorus One is a leading Staking service provider, and its investment may indicate that the future SpaceComputer network will adopt the PoS consensus mechanism, with Chorus One possibly becoming the operator of space nodes.

Individual investor Ameen Soleimani is the founder of MolochDAO and MetaCartel, and is highly influential in the Ethereum community. Jason Yanowitz is the co-founder of Blockworks, renowned in the crypto media space. The participation of these individual investors not only brings funding but also media exposure and community support.

The announcement pointed out that this financing was conducted after the seed round financing led by Primitive Ventures earlier this year. This means that SpaceComputer has completed two rounds of financing in a short period of time, demonstrating investors' continued confidence in its technology roadmap and team execution.

JPMorgan is also testing a space Blockchain

This investment highlights the growing interest in using innovative methods such as space technology to advance the construction of Blockchain infrastructure. By breaking through the limitations of traditional satellites, the operations of Blockchain on Earth will be less susceptible to interference. Co-founder Daniel Bar stated, “The SpaceComputer project represents an optimistic yet pragmatic cypherpunk vision. The space domain has opened up to commerce, and we are rapidly entering an era where an increasing number of applications incorporate space-based computing and communication layers.”

Baer added that the “importance and opportunity” of decentralized technology are “undeniable.” This statement indicates that SpaceComputer is not only a technological innovation but also a commitment to the ideals of decentralization. In a global regulatory environment that is becoming increasingly stringent, with some countries even considering banning cryptocurrencies, space infrastructure offers the ultimate protection against censorship.

Major financial institutions have also explored the potential of using satellites for secure transactions. A few years ago, JPMorgan's digital asset division tested what it called “the world's first bank-led space tokenized value transfer.” This banking giant utilized a blockchain network deployed on low Earth orbit (LEO) satellites to execute smart contract transactions.

Although JPMorgan's test is merely a proof of concept, it demonstrates the technical feasibility of space Blockchain. The exploration of this direction by large financial institutions provides market validation for startups like SpaceComputer. If even conservative traditional banks believe that space Blockchain is worth investing in, it indicates that this direction has real commercial value, rather than being merely a showcase of technology.

SpaceComputer's Existing Achievements and Future Challenges

SpaceComputer is primarily known for testing satellites on SpaceX's Falcon 9 rocket and releasing tools for developers to access computing from space. This demonstrates that the company is not just a “PPT company” with vision, but has already completed actual space tests. Carrying test satellites on SpaceX rockets means that SpaceComputer has established partnerships with commercial space giants, which is crucial for subsequent satellite launches.

The company is currently collaborating with researchers from the Technical University of Munich, Cornell Tech, and the University of California, Santa Barbara, to explore extraterrestrial computing for blockchain applications. This academic collaboration provides theoretical support and talent reserves for technology development. The involvement of top universities also enhances the project's credibility.

However, SpaceComputer also faces challenges. As scientists are extremely concerned about the increasing space debris, new satellite launches may face stricter scrutiny. In 2023, the Federal Aviation Administration (FAA) warned Congress in a letter that debris generated by low Earth orbit satellites (such as SpaceX's Starlink constellation) could pose a danger to ground personnel during the re-entry disposal process. Another study in 2022 claimed that Musk's satellite swarm is blocking the telescopic views of astronomers.

These environmental and scientific concerns could translate into regulatory hurdles. SpaceComputer needs to demonstrate that its satellite network will not exacerbate the space debris issue and take measures to reduce its impact on astronomical observations. Furthermore, the international legal framework for commercial space activities is still evolving, and SpaceComputer may need to navigate a complex multinational regulatory environment.

From a business model perspective, SpaceComputer needs to prove the cost-effectiveness of space computing. The costs of satellite launch, maintenance, and operation are significantly higher than those of terrestrial data centers. Can this additional cost be offset by the premium for censorship resistance and security? Which Blockchain applications are willing to pay a higher price for space computing? These are the business questions that SpaceComputer needs to address.