Blockchain software company Block.one has announced plans to establish a subsidiary for trading cryptocurrencies. According to a release it is announced On Tuesday the platform – called “Bullish Global” – will run on the EOS blockchain.

As part of the announcement, the EOSIO developer announced that it had raised up to $ 10 billion in capital for the crypto exchange. The sum includes $ 300 million in financing from investors from Peter Thiel and Mike Novogratz and hedge fund managers Alan Howard and Louis Bacon.

The remaining capital is believed to come from Block.one’s crypto holdings, which include 164,000 bitcoins – worth about $ 9 billion at current market value – and 20 million EOS. The EOSIO developer is said to have given Bullish Global an additional $ 100 million in cash.

EOS had its best day in the top 100 cryptocurrencies by market cap, jumping from $ 9.17 to a 24-hour high of $ 14.8 in just six hours after the news was released last night. According to data from Coinmarketcap, the nearly 60% increase since yesterday has made EOS one of the best assets among other hot assets like YFI and MATIC.

Block.one was founded by CEO Brendan Blumer and former CTO Daniel Larimer, who wrote the EOS whitepaper. The blockchain project, one of the original “Ethereum killers”, brought in a record $ 4.2 billion in an ICO.

Donors include UK hedge fund manager Alan Howard, CEO of Moore Capital Management, Louis Bacon, and PayPal and Palantir co-founder Peter Thiel, all of whom invested in Bullish’s funding round.

Mike Novogratz, CEO of asset management firm Galaxy Digital, who also participated in the financing round, said, “The sheer size and scale of Bullish combined with Block.one’s expertise in high-performance blockchain engineering make Bullish an impressive one from day one Make a player. “

According to today’s announcement, the new crypto exchange will use existing tools from the EOS network and the EOSIO platform managed by Block.one.

There are also plans to incorporate automated market-making and lending tools that will allow algorithms to set the prices of assets so that buyers and sellers don’t always have to be around. In other words, the exchange could allow EOS to capture part of the booming decentralized financial market, where anyone can earn interest, borrow capital, and trade derivatives and digital assets without an intermediary third party.

The serious outflow from Block.one can be important to staying relevant. According to a June 2020 report by Outlier Ventures, EOS lost 85% of its developer base over the course of a year as its Github code updates were reduced to just 6% year over year.

But $ 10 billion can go a long way. It’s more than the total market cap of Monero, Algorand, Maker, and – since that morning’s market pump – EOS.

Annie

Bitcoin magazine

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