Decentralized lending protocol Pledge has secured $3 million in investments for its cross-chain ecosystem targeted on long-term financing, highlighting the continued innovation within the DeFi sector.
The funding spherical was led by DHVC, a Palo Alto-based enterprise capital agency, with extra participation from U.C. Berkeley professor Gary LaBlanc and Stanford College group members Ray Wong and Torsten Wendl. The elevate will support Pledge in its mission to change into a premier crypto-asset lending platform that finally paves the way in which for tokenized real-world monetary belongings.
Pledge was created by a gaggle of blockchain-focused researchers at Stanford College, together with professor David Tse, Nicole Chang, Ray Wong and Torsten Wendl. Aforementioned professor Gary LaBlanc additionally contributed to the protocol.
Using Binance Good Chain, Pledge goals to facilitate long-term financing for crypto holders, one thing the researchers say has but to be addressed within the business. The protocol achieves this purpose by permitting customers to diversify their portfolios with non-crypto belongings with out being uncovered to interest-rate volatility.
The protocol is powered by Pledge Tokens, or PLGR, which have a complete provide of three billion. No market knowledge is at present accessible for PLGR.
DeFi lending markets have exploded in reputation this yr, attracting an inflow of recent customers on the promise of upper yields and elevated entry to new markets. Whereas Aave dominates the DeFi lending market, a number of protocols have launched over the previous yr, every one offering its personal worth proposition.
Associated: DeFi attracts 2.91M Ethereum addresses, in line with ConsenSys
Presently, slightly below $44 billion in complete worth has been locked into DeFi lending markets, in line with business knowledge. That accounts for simply over half of the entire DeFi market.
DeFi’s progress has attracted undesirable consideration from regulators who’re rising extra involved about investor protections and whether or not sure belongings fall beneath federal safety legal guidelines. As Cointelegraph not too long ago reported, the US Securities and Trade Fee has warned cryptocurrency trade Coinbase that its proposed yield program violates securities legal guidelines.
Associated: SEC vs. Coinbase: Alex Mashinsky says Celsius should ‘wait and see’ on fallout