DeFi-based research and development firm Proximity Labs, together with trade protocols Orderly Network, Spin and Tonic, announced that they have raised a private investment fund of $ 10 million for projects on the Near Protocol Blockchain.
About the Special Fund Raised
According to the statement, this fund will be used in the form of grants or investments for DeFi protocols using the central limit orderbook infrastructure provided by the Ordered Network, Spin or Tonic.
“This $10M fund is an open invitation for builders from any ecosystem to advance near’s decentralized orderbook infrastructure to a level that will rival centralized exchanges. At the same time, it is an encouragement for all those building to keep going. ”Proximity Labs Team
Proximity Labs will provide a full range of consulting services, including grants and investments, as well as developer support for selected DeFi protocols.
Proximity Labs aims to ensure that projects selected and supported for investment or grants can offer a trading experience similar to centralized exchanges, which is achieved by using the Near blockchain as a settlement layer. Similarly, new projects can also use these protocols and create a decentralized exchange aggregator or use existing liquidity for different operations.
Proximity Labs Will Strengthen DEXs
In the first half of 2022, all four protocols successfully collected investments and simultaneously distributed the collected funds in the Near Protocol.
The trend started with Spin, a continuous trading exchange in Near. Spin received a $3.5 million investment in February. The spin was followed by Tonic, which received a $5 million investment before its release. Orderly Network received a $20M investment in the investment round it launched in June to strengthen the DeFi protocol.
Participants in Orderly’s investment round included major investment funds such as Three Arrows Capital, Pantera Capital, Dragonfly Capital, Sequoia China, Jump Crypto, GSR Ventures, MetaWeb VC, and Alameda Research, which is facing bankruptcy with its sister company FTX. For this $ 10 million developer fund, the treasury of the four protocol will contribute.
All this was concluded after the bankruptcy filing of the FTX Derivatives Exchange. Kendall Cole, Director of Proximity Labs, said in a statement that this fund was raised to strengthen the decentralized trading ecosystem during the bear market period when there was a liquidity crunch. Kendall Cole, Director of Proximity Labs, expressed interest in FTX with the following words:
“Fortunately, Proximity had no direct exposure to Alameda/FTX, and we are currently well-positioned with multiple years of runway in stablecoins and digital assets.”
References
Leave a comment