Avalanche, a smart contract-enabled cryptocurrency, has received a $ 230 million investment from a group of VC companies. The financing round, known as the private sale, was led by Polychain and Three Arrows Capital with the participation of other companies. This investment will allow these companies to participate in on-chain avalanche governance and exposure to price through ownership of tokens.
Polychain and Three Arrows Capital Put Fund in Avalanche
Avalanche, one of the latest smart contract-enabled cryptocurrencies, has behaved $ 230 million in a financing round led by Polychain and Three Arrows Capital, two leading VC firms. R / Crypto Fund, Dragonfly, CMS Holdings, Collab + Currency, Lvna Capital and a group of angel investors also participated in the financing round, which was categorized as a private token sale.
On the interest of these venture capital firms, Emin Gun Sirer, director of the Avalanche Foundation said:
Although Avalanche is years younger than its competitors, Avalanche has quickly turned promise and potential into real impact and value for DeFi users and developers.
The Avalanche blockchain had encountered some issues in the past, but now its defi ecosystem is booming, thanks in part to a program of liquidity incentives called the Avalanche Rush. This has caused yield seekers to flock to the chain for more revenue.
Funding and grants are coming
The Avalanche Foundation announced that the funds from the token sale (held in June) will be used to promote and support the growth of Defi, enterprise applications and other use cases in addition to the Avalanche blockchain. The funds will be invested in the award of grants, token purchases and various forms of investments for projects in the ecosystem.
The blockchain is now experiencing the defi boom, supported by multiple platforms that build on its services. Corresponding Defillama, a defi aggregator, now has more than $ 2.7 billion locked in Avalanche Defin logs, up 7.36% over the past 24 hours. The price of Avax, the blockchain’s native currency, has also skyrocketed on the funding news, hitting an ATH level of $ 67.52 at the time of writing.
Investors were very optimistic about the current state of the project and its future in the market. Kyle Davies, Chairman of Three Arrows Capital, said:
Avalanche has found a product market that fits what DeFi users want today, while developing it with custom blockchains on the platform for the development of the space.
What do you think of Avalanche’s $ 230 million token sale? Let us know in the comments section below.
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