Binance Labs which backs the leading cryptocurrency exchange Binance has invested a whopping in Plasm Network to accelerate the growth of various projects built on its Polkadot ecosystem.
Binance Labs rolled out a $10 million fund for promoting the development of new projects on the Polkadot ecosystem.
Plasm Network Raised $2.4 Million
In a series, A funding round by Plasm Network led by Binance LongHash, Hashkey, PAKA Ventures and Digital Finance groups participated, through which $2.4 Million funds were raised. Plasm Network is a popular DApps building platform that became the first parachain to successfully connect to Rococo Testnet last month.
As the interest in decentralized finance increases, significant projects are concentrating on leveraging the high potential of the space. Ethereum is currently the leader in Decentralized Finance arena; however, it faces certain challenges like high transaction charges and scalability. Considering the underlying challenges, developers are looking for alternatives which have increased the scope for competitor blockchain like Polkadot. Polkadot has undoubtedly faired quite well since its inception, and Binance Labs is exploring all the possible avenues to steadfast its growth.
Plasm Network which successfully connected to Rococo Testnet is aiming to become the first Kusama and Polkadot parachain. Wei Zhao, the Head of Binance Labs noted that the firm is highly impressed by Plasm Network’s growth and is a potential candidate for Polkadot mainnet. He further added that ” By investing and supporting Plasm, we are demonstrating our commitment to supporting the growth and development of Polkadot ecosystem.”
The $2.4 Million funding would help speed up the Ethereum bridge development and support Plasm Networks on-chain governance and Network Portal. The Polkadot continues to grow; there has been a substantial influx of novel projects in the network. Startups like Tidal Finance have built their applications on Polkadot. The Founder at Digital Finance Group James Woo noted that Plasm addresses the highly crucial interoperability aspect of decentralized finance protocols.
The Plasm bridge which connects Ethereum to Polkadot would be highly instrumental in bringing experienced DeFi players on the Polkadot ecosystem. Since Plasm Network is continuously upgrading the quality of its products, the investors believe in “Plasm’s scalability, compatibility, and governance features will continue to make it stand out and be among the winners of the upcoming Parachain Auctions.”
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