Home > NEWS > Injective launches $150M ecosystem fund to boost DeFi, Cosmos adoption

Injective launches $150M ecosystem fund to boost DeFi, Cosmos adoption

“DeFi has proven to be a resilient and reliable option for users in the face of the overarching CeFi collapse in 2022,” said Eric Chen, CEO of Injective Labs.

Injective is a Tier 1 blockchain agreement created in 2018, and has launched a US $150 million ecosystem stock fund to support developers in the basic construction of Cosmos on the network.

The so-called ecosystem group company has received strong support from a large and medium-sized venture capital and Web3 enterprises, including Pantera capital, Kraken Ventures, Jump Crypto, Kucoin Ventures, Delphi Labs, IDG capital, Gate Labs and Flow Traders. According to Injective, this large consortium is the largest one in the broader Cosmos ecosystem.

Injective indicates that the real estate developers who choose this fund will adopt the "customized token and equity investment fund" to be applicable, in addition to specific guidance, technical assistance, business development and marketing. The project of capital construction decentralized equity financing (DeFI) and mutual use of infrastructure can obtain the maximum ownership. The funds are also earmarked for projects such as infrastructure trading websites, expansionary solutions and equity certification infrastructure.

When asked how to allocate funds, Eric Chen, co-founder and CEO of Injective Labs, told Cointrap, "What is the method of allocating funds for ecosystem planning that focuses on finding better funds for each project, rather than overly strict on the amount of funds set?" He added:

"As far as the links are concerned, the working group is mainly aimed at the initial projects (B-series product seed projects), but the latter funds can also be considered on a case-by-case basis. The business scale of the grant funds will vary according to the period and needs of the projects, and the goal is to give appropriate application for the success of each project."

Injective, also known as Injective Protocol, is a blockchain technology blockchain smart contract service platform built by applying the Cosmos SDK. The Cosmos SDK is a development and design toolkit, which is faster and more cost-effective than Ethernet to promote infrastructure. Chen said that compared with other blockchain technologies, Cosmos provides more practicability, customization options and horizontal scalability.

According to the information of CoinMarketCap, the total market value of Cosmos is about US $3.7 billion, which is the 20th largest blockchain system.

DeFi entered the public discussion in the summer of 2020. Shortly after BTC's quadrennial suspension, many well-known projects started a bull market in data encryption. Although the activity of DeFi has slowed down in the past year, this field has not been affected to some extent by the problem of confused centralized investment and financing platform (CeFi).

Chen further explained: "The technical characteristics of the blockchain of the DeFi contract allow more transparency and genuine use of funds, which will always be an important advantage compared with centralized equity financing.".

by wjb news
© 2023 WJB All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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