Merkle Manufactory, a software company based in Los Angeles, is reportedly nearing the end of a funding round that values the company at $1 billion. According to Bloomberg, Paradigm, a crypto investment firm, is leading the round. Merkle is known for developing Farcaster, a decentralized social networking protocol that operates on the Ethereum blockchain. Farcaster allows users to create profiles, make posts known as “casts,” and follow other users. The protocol is open-source, meaning anyone can use it to broadcast short text messages and connect their Ethereum address. Verifying ownership of an Ethereum address unlocks additional features, such as displaying non-fungible tokens (NFTs) and using them as profile pictures. Dan Romero, one of the co-founders of Farcaster, confirmed the ongoing funding round on the social media app Warpcast. However, he did not disclose the specific valuation. Romero also shared that Farcaster recorded over 77,000 daily active users during the weekend, setting a new record for the network. He co-founded the project in 2020 alongside Varun Srinivasan, another former executive at Coinbase. Previously, Merkle Manufactory raised $30 million in a funding round led by a16 Crypto in 2022.