Florida-headquartered Psilera closed an oversubscribed US$8.8 million seed funding extension round on May 28.
The company develops next-gen neuroplastogens and psychedelic-inspired therapies that deliver mental health benefits without the hallucinogenic “trip.” A syndicate of institutional and strategic investors led the round.
Psilera engineers compounds that promote neuroplasticity — the brain’s ability to form new connections. These drugs aim to treat hard-to-treat neurological and psychiatric conditions.
The lead candidate, PSIL-006, is a psilocybin-derived neuroplastogen. It targets serotonin receptors to drive therapeutic effects while avoiding hallucinations and cardiovascular risks. Developers selected behavioural variant frontotemporal dementia (bvFTD), a neurological disorder, as its lead indication.
The new capital accelerates PSIL-006 toward first-in-human trials planned for 2027. Funds also support IND-enabling studies, including those backed by an NIH award of up to US$2 million for alcohol use disorder. Recent Psilera milestones include appointing neuroscience expert Dr. Magali Haas as Chief Medical Officer and licensing a DMT patent portfolio to AtaiBeckley Inc (NASDAQ: ATAI) (FRA: B72).
This news arrives shortly after President Trump’s executive order in April 2026 that prioritizes psychedelic therapies for serious mental illness. Psilera has publicly commended the order. It signals stronger federal support for research and faster regulatory pathways in this space.
Read more: UK capital hosts 24-hour psychedelic treadmill race in abandoned tank factory
New financing in an expanding field
This funding marks the latest step in the growing field of non-psychoactive psychedelic drugs. Companies design molecules that capture neuroplastic benefits without mind-altering effects.
Delix Therapeutics currently develops Zalsupindole (DLX-001), a non-hallucinogenic compound based on 5-MeO-DMT. It promotes structural and functional neuroplasticity similar to ketamine and classic psychedelics but without the trip.
Furthermore, Enveric Biosciences Inc (NASDAQ: ENVB) is advancing its EVM401 series and EB-003, non-hallucinogenic neuroplastogens or neurostabilogens derived from mescaline and DMT structures. These target anxiety, depression and addiction with improved safety profiles.
Researchers at academic institutions have also taken an interest. Scientists at the University of Birmingham recently coined the term “PiPi drugs”—psychedelic-informed but psychedelic-experience inactive compounds. Their work highlights anti-inflammatory and neuroprotective potential for conditions like Alzheimer’s and depression, separate from psychoactive effects.
This latest funding and ongoing research highlights the appeal of drugs that can offer the benefits of psychedelics while side-stepping unwanted effects that make administration a more challenging process.
Read more: Small-scale Nature study shows psilocybin causes brain changes after one use
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