New York, October 7th / PRNewswire / — Orca and Loopscale announced today their merger, integrating the trading and liquidity infrastructure of Orca with the credit and treasury infrastructure of Loopscale. The combined team will operate under the name of Formation, with Luke Truitt, one of the co-founders of Loopscale, serving as the CEO.

Formation aims to provide a path for emerging assets from issuance to financing and liquidity, while also expanding the range of assets and strategies available to capital allocators. Both Orca and Loopscale protocols will continue to serve as the foundation for the ORCA and xORCA token networks. Formation will build new unified capabilities on top of the existing protocols, focusing on asset initiation, treasury strategies, and distribution.

Bridging the gap between capital and innovation

AI, energy companies, robotics firms, and defense contractors are driving a new wave of capital demands. Apollo estimates that by 2028, infrastructure alone in AI will require nearly $3 trillion.

Many of the companies driving this demand do not fully fit within the framework of traditional capital markets, while fixed underwriting, legal, service, and distribution costs are more favorable for larger-scale transactions with a higher degree of standardization.

Formation expands capital acquisition channels by reducing the costs and complexity of asset structure design, distribution, and financing.

Formation CEO Luke Truitt stated: "The frontier economy is creating new business models and financing needs at a faster pace than traditional market infrastructure. Every major technological revolution is accompanied by a financial revolution. We are at a turning point, and the capital market needs to keep up with the pace of industries that are reshaping the economy."

Built on verified infrastructure

Orca has processed over $550 billion in transaction volume since 2021. Loopscale has a deposit scale of over $150 million and has facilitated loans totaling over $2 billion. Together, they form a platform that has been tested in actual combat, along with ten years of operational experience in trading, credit, and treasury strategies.

Orca Chief Strategy and Legal Officer Christopher Montagano stated: "For Orca, we have been building deep liquidity for many years. We have seen with our own eyes that liquidity alone is not enough to enable a asset to scale. The greater challenge lies in establishing the necessary credit and distribution capabilities for these assets, and Orca and Loopscale happen to be building the complementary parts of these infrastructures. Together, we can provide issuers with a complete path from launch to long-term market adoption."

Drive the next round of capital formation cycle

Formation is building its business around assets, issuance, liquidity, credit, and distribution, and plans to enter the regulated U.S. capital market. Within the next 12 months, the team intends to introduce new tools and capital allocation strategies for issuers in addition to the existing trading, lending, and treasury products.

Formation has been collaborating with Figure, Shinhan Asset Management, Superstate, R3, and Securitize to promote the listing of new assets and expand distribution channels.

Figure Technology Solutions, Inc. The President of Digital Assets, Reid Simon stated: "We have already launched over $30 billion in credit on the chain and expanded the scale of tokenized products to over $650 million in DeFi assets. We are well aware of the importance of high-quality distribution partners for growth. Over the past year, we have worked closely with both teams of Orca and Loopscale, and we are excited about the potential that can be unleashed for the growth of tokenized assets after unifying our trading, credit, and treasury strategies."

The leadership of Formation includes: Luke Truitt serving as the Chief Executive Officer, Mary Gooneratne as the Chief Operating Officer, and Christopher Montagano as the Chief Strategy and Legal Officer.

About Orca

Orca is a decentralized exchange on Solana, providing trading infrastructure for digital assets. Since 2021, its trading volume has exceeded 500 billion US dollars. For more information, please visit orca.so.

About Loopscale

Loopscale is a credit and vault infrastructure platform that has over $150 million in deposits across a wide range of markets and has facilitated loans exceeding $2 billion. For more information, please visit loopscale.com.

About Formation

Formation is building a capital market for the forefront of economics. This platform was formed by the merger of Orca and Loopscale, integrating trading, credit, and capital allocation infrastructure into one. For more information, please visit formation.so and join the discussion on X.

Forward-looking Statements

This press release contains forward-looking statements, including information regarding planned products and expected benefits from mergers. Actual results may differ significantly from expectations. Planned products must comply with applicable laws and regulatory requirements and may not be available in all jurisdictions or to individuals in the United States. This press release does not constitute an offer to sell any securities or other financial products, nor does it constitute an invitation to purchase any securities or other financial products, nor does it provide investment, legal, or tax advice.

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