Avalanche launches $ 220 million Blizzard growth fund based on DeFi and NFT. aims

The Avalanche Foundation has launched a new fund dedicated to developing the Avalanche blockchain ecosystem.

The fund, known as “Blizzard“, includes donations from Ava Labs (the New York-based company that develops the Avalanche platform), the Avalanche Foundation (the Singapore-based nonprofit that oversees the Avalanche platform). Financing round – Polychain Capital, Three Arrows Capital, Dragonfly Capital, CMS Holdings, R / Crypto Fund, Collab + Currency, Lvna Capital – among others.

Due to the cash and token holdings (currently AVAX, Avalanches native cryptocurrency, although other tokens can be added if the fund invests in projects) the fund’s value will fluctuate but is currently around $ 220 million, said John Wu, President of Ava Labs.

Blizzard is the newest fund in a growing trend of nine-digit incentive schemes implemented by blockchain teams for Bootstrap growth (open source CSS Framework). It’s really geared towards the smaller side of Binance’s $ 1 billion fund announced last month or the NEAR Protocol’s newest $ 800 million fund that is mostly focused on the non-financial sector. Including similar initiatives by Algorand and Celo, the Ecosystem Development Fund has spent at least $ 2.2 billion in growth capital over the past two months.

The new fund builds on Avalanche’s $ 180 million DeFi Incentive Program, Avalanche Rush, announced August 18. Since then, the total number of transactions in the network has risen from over 4 million to 18.5 million, according to the analysis tool Avalanche Explorer. and the AVAX token tripled in price – from $ 21 to a high of around $ 80, before trading back to $ 65 at press time.

Source: TradingView

It will mainly focus on four main areas: DeFi, enterprise applications, NFTs, and cultural applications, including social tokens and games, and can also be used for other initiatives such as security token issuance and digital identity development.

Wu said that Blizzard is not pre-assigned but is used to invest in stocks, buy tokens, and help with collaboration, technology, and business development efforts.

“Blizzard is joining the Avalanche community at a critical time when user flows and activity require constant innovation in new applications and use cases on the platform. This is a huge step forward in the maturation of the Avalanche ecosystem and its support system for future developers in the industry. “

More than 320 projects are currently being built on the Avalanche platform, and the total number of assets locked in Avalanche’s DeFi applications has increased from $ 300 million in August to $ 8.45 billion today, according to DeFi.Llama. Avalanche currently has the fifth most DeFi assets among the blockchains, behind Ethereum ($ 164.32 billion), Binance ($ 19.29 billion), Solana ($ 12.58 billion) and Terra (9, $ 89 billion).

Source: DeFi Lama

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Annie

According to Forbes

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