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Solana protocols Orca and Loopscale merge to create Formation

Solana decentralized exchange Orca and lending protocol Loopscale have merged into a new entity named Formation, setting their sights on financing AI, energy, robotics, and defense initiatives.

Orca logo featuring a stylized killer whale icon above the word ORCA on a yellow background
Image: @SolanaFloor

Solana decentralized exchange Orca and lending protocol Loopscale have merged to create a unified entity called Formation, according to reports by The Block and SolanaFloor. The new platform plans to direct decentralized capital toward specialized industrial and tech sectors, focusing on financing for artificial intelligence, energy, robotics, and defense.[3][4][2]

Both protocols will continue to operate under the existing ORCA and xORCA token network following the combination, according to SolanaFloor. Crypto Briefing noted that Formation's foray into financing traditional sectors could reshape the function of decentralized finance while presenting new credit and regulatory challenges.[1][2]

Key facts

  • Solana-based decentralized exchange Orca and lending protocol Loopscale merged to form Formation.
  • Formation will focus on providing financing for the AI, energy, robotics, and defense sectors.
  • Both Orca and Loopscale will remain part of the ORCA and xORCA token network.
  • The Block initially reported the merger as an exclusive on October 7, 2026.
  • Crypto Briefing reported that expanding DeFi financing into these sectors introduces potential new credit and regulatory risks.

Sources · 4 sources

  1. CB

    Crypto BriefingArticle ·

    Orca and Loopscale merge into Formation, setting sights on AI, robotics and defense financing Formation's focus on AI, robotics, and defense financing could reshape DeFi's role in traditional sectors, introducing new regulatory and credit risks. The post Orca and Loopscale merge into Formation, setting sights on AI, robotics and defense financing appeared first on Crypto Briefing .

    Open source
  2. SO

    SolanaFloor@SolanaFloorPost on X ·

    🚨BREAKING: @Solana DEX @orca_so and lending protocol @Loopscale have merged to form @formation_so. Both protocols will remain part of the $ORCA and xORCA token network. https://t.co/U3UA75FzgX

    Open source
  3. TB

    The BlockArticle ·

    Solana’s Orca merges with Loopscale in push to finance AI, robotics and defense Orca and Loopscale unite as Formation, targeting financing for AI, energy, robotics and defense.

    Open source
  4. TB

    The Block@TheBlockCoPost on X ·

    EXCLUSIVE: Solana's Orca merges with Loopscale in push to finance AI, robotics and defense https://t.co/vgqTu36yvU

    Open source