Orca and Loopscale have merged under the new Formation brand, headquartered in New York and led by Loopscale co-founder Luke Truitt as CEO, with Mary Gooneratne as COO and Orca’s Christopher Montagano as chief strategy and legal officer. The combined entity aims to finance AI, energy, robotics and defense projects, positioning itself as a full-stack decentralized finance provider that pairs trading infrastructure with credit and vaults.
Formation combines Orca’s trading rails — which the company says have processed more than $550 billion in volume since 2021 — with Loopscale’s credit order book and vaults. Loopscale reports over $150 million in deposits and more than $2 billion in loans facilitated. Historical funding details noted by the teams include Orca’s $18 million Series A in 2021 and Loopscale’s earlier $4.25 million raise.
The firm intends to operate a tokenized securities venue under the SEC’s Sept. 17 five-year Innovation Exemption and to introduce issuer tools within 12 months. Formation will use ORCA as its token; Loopscale will not launch a separate token and its points will convert later this year. The announcements stress that products are subject to legal and regulatory constraints and may not be available to U.S. persons. For users, key issues will be how existing positions, collateral types and governance migrate to the new structure and how Formation manages credit, operational and regulatory risks tied to real-world financing, especially around defense deals.