The new $205 fund that The Graph generated will be available as grants for teams building decentralized applications using the protocol’s querying technology.
The Graph recently launched a $205 million fund backed by Digital Currency Group (DCG) and many others. The other backers of the new fund include NCG, HashKey Group, gumi Cryptos Capital, Reciprocal Ventures, and Multicoin Capital. These establishments understand the significance of The Graph’s ecosystem, and they chose to invest in the protocol to drive a development force.
The protocol launched the funds with corroboration from more intending investors hoping to get dynamic pioneers on their platform. The protocol index for blockchain organizations also announced their interest in more support funds focused on decentralized apps.
The blockchain world has seen more funding from last year to date than it did in the past. According to CBI Insights, blockchain funding increased by 713%, from $3.1 billion to $25.2 in 2021. DCG funding to The Graph follows several nine-figure fundraising in 2021. A while ago, Alchemy & Aleo was awarded $200 million, Phantom received $109 million in investments, and Polygon got $450 million funding.
Last December, The Graph Foundation granted $60 million to Semiotic AI, a startup that builds autonomous directing agents for decentralized markets. Semiotic AI is The Graph’s developer for decentralizing data indexing protocols. It will become the third core protocol developer to join the Web 3 network this year. The grant of an eight-year payment plan will fuel the network’s research and growth strength. Semiotic AI promises to improve data security on The Graph through up-to-date tech. Additionally, The Graph Foundation organized a private sale of GRT tokens and raised $50 million. The protocol awarded $48 million to The Guild to further facilitate its features and economy out of the generated funds.
Reactions from Backers of The Graph Fund
The new $205 fund that The Graph generated will be available as grants for teams building decentralized applications using the protocol’s querying technology. Notably, The Graph’s querying technology spans different sectors, including decentralized finance (DeFi) and non-fungible tokens (NFTs). Other sectors are cross-chain infrastructure marketplaces. And decentralized autonomous organizations (DAO).
The managing director of the contributors to The Graph fund, Hashkey Capital, commented. Deng Chao said that Web3 is making its way regardless of whether consumers accept it or not. The executive added that accessible Web3 solutions, like The Graph, are what developers need.
Gumi Crypto’s Miko Matsumura posits The Graph as “an essential part of the Web 3 stack,” referring to the open-sourced software’s focus on developing applications. The programming of these apps will interface with the monotony of the internet.
Craig Burel, a partner at Reciprocal Ventures, another contributor to The Graph, commented:
“Many of the blockchain applications and protocols that people are interacting with today are powered by centralized platforms and solutions providers. In the near term, it will still remain this way until more decentralized alternatives are available. To expedite that future. We have come together with some of the biggest players in the crypto industry to provide strategic capital and resources to developers aligned with The Graph’s mission to bring web3 to fruition.”
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Ibukun is a crypto/finance writer interested in passing relevant information, using non-complex words to reach all kinds of audience. Apart from writing, she likes to see movies, cook, and explore restaurants in the city of Lagos, where she resides.
