Today, a venture capitalist (VC) in the world of decentralized finance (DeFi) announced a $ 4.9 million raise by large venture capital groups in the industry as well as a handful of companies. new standout lead.
Alchemix is DeFi loan protocol, loan that automatically repaid via deposit into other profitable protocols. Today, they announced on Discord a $ 4.9 million raise led by 10 investors including CMS Holdings and Alameda Research, as well as emerging crypto VC players like eGirl Capital.
Other investors are Immutable Capital, Nascent, Protoscale Capital, LedgerPrime, Fisher8 Capital, Orthogonal Trading and an unidentified “individual”.
Team leader Scoopy Trooples at Alchemix said:
“Alchemix aims to be one of the most important lego money in the Ethereum ecosystem. It was the pinnacle of countless innovators and a great idea with so much effort from our team. […] We are delighted to have the support of so many reputable investment companies. With their support, we can make Alchemix even better ”.
Unlike many recent venture investments in DeFi protocols, the Alchemix team has worked hard to reveal the terms of the funding round. According to their Discord post, the team sold tokens from the treasury allocation for around $ 700 per ALCX, ranging from $ 680 to $ 800 according to the token’s trading range on the day of the sale – March 11.
The post states that this sale provides the equivalent of 1 year quantity for the team and specifies that the team cannot sell any allocated tokens for 1 year and for new investors 3 months. The newly raised funds will be used for audits, contractors, recruiting, marketing and community efforts.
Alchemix is part of DeFi’s “Generation 2” movement, a group of projects that build on previous protocols, that are doing better in the broader market.
CL, a partner at e-Girl Capital, excitedly talked about the project’s potential.
“Personally I think the team is very capable, very optimistic about the project as record numbers of stablecoins continue to be minted daily and flow into the DeFi protocols. The idea of immediately being able to spend profits in the future is very potential ”.
This investment drives the growing trend of traditional legal entities and venture capitalists entering fundraising rounds alongside many newer and perhaps not so popular institutional investors. However, as the tools for DAOs and smart contracts for managing funds become more sophisticated, anonymous individuals and organizations may be looking for ways to get more press releases.