While the digital asset market is volatile, the blockchain sector continues to expand as demand increases from both crypto-natives and traditional institutions looking to use the technology.
Layer 1 blockchain Injective has raised $40 million in a round led by Jump Crypto, Injective Labs CEO and co-founder Eric Chen told TechCrunch. Brevan Howard Digital, the crypto arm of British billionaire hedge fund manager Alan Howard, also participated in the funding round.
The funding was raised by Injective and Injective Labs, a software development company that supports blockchain, to add new stakeholders to the ecosystem, Chen said. “It is more important to attract valuable stakeholders than to have more capital on hand.”
The platform aims to optimize and build decentralized finance (DeFi) applications such as exchanges, derivatives, prediction markets and options. We also create financial decentralized applications (dApps).
“This is a fundamental piece of innovation, a fundamental paradigm shift that no one wants to leave out or adopt too late. People who are making great effort and commitment are innovating.”
Chen said the new funding will be used not only to support incoming Injective developers, but also to build critical toolkits, support software, and make core upgrades to grow the ecosystem. I’m here. Injective will also increase the utility of his INJ, a native token, and will be able to provide liquidity and support for his dApps on the blockchain.
The funding will also attract more institutions and support broader efforts to bring more liquidity to DeFi, Chen said. “The ecosystem is institutional ready and we are also excited about the sophisticated liquidity coming in. It is a synergistic effort for wider adoption.”
In recent months, there has been an increase in interest and activity in DeFi from traditional institutions and people in traditional finance, Chen said.
“This is clearly demonstrated by financial service providers such as investment banks, brokerage firms and asset managers, regardless of market conditions,” Cheng said. “There are no signs of them slowing down.”