Cryptocurrency NewsDeFi

$10.3 Million Raised by Flux Protocol through Seed Funding Round

According to the latest reports, Flux Protocol has confirmed the conclusion of a successful seed funding round. Flux Protocol made the announcement around the success of the funding round on Thursday, May 20, 2021.

Flux Protocol has revealed that from the funding round, it was able to generate a whopping $10.3 million. The $10.3 million funding has been raised with the contribution of capitalists from some of the leading ventures in the crypto-verse.

The reason behind funding Flux Protocol is to rejuvenate and energize the decentralized finance (DeFi) sector again. In recent months, the decentralized finance (DeFi) sector has started losing its worth and reputation in the cryptocurrency market.

It was one of the most adopted and widely invested products since the start of 2021, which is offered by the cryptocurrency industry. However, the industry soon proved that it was not able to take the pressure of heavy investors, large transaction volumes, and a huge user base.

Therefore, the platform ended up losing its reputation as one of the most promising products offered by the cryptocurrency industry.

However, the Flux Protocol claims to make a difference with its services and features. It claims that its NEAR blockchain, it would make a huge difference in the decentralized finance (DeFi) sector. It would eventually help the DeFi sector regain its old market worth and reputation.

Therefore, the leading venture capital firms are willing to trust in the abilities of Flux Protocol and give it a try. Therefore, the Flux Protocol received a huge chunk of money through the contribution of these leading firms. These firms are hoping that Flux Protocol would be able to live up to the claims it has made in terms of DeFi sector’s redemption.

Flux Protocol is part of the decentralized finance (DeFi) infrastructure that has been based on NEAR blockchain. The seed funding round for the protocol was led by Distributed Global. More ventures also helped to support the seed funding round and their names include Figment Capital, Uncorrelated Ventures, CoinFund, and Coinbase Ventures.

The Flux Protocol’s recent successful funding round is the demonstration of how much the VCs are trusting in the protocol’s abilities. The decentralized finance (DeFi) sector has proven to be one of the pillars of the cryptocurrency industry.

This is the reason why the VCs are not willing to leave this sector behind and are doing whatever they can to bring back the Ethereum blockchain’s lost glory.

The major reason behind DeFi’s downfall is the rise in the transaction fees that the investors started incurring on the protocol. While the major investors were able to cope with high transaction fees, the situation became unbearable for the small-time investors.

As a result, the small investors have pushed away and they ended up shifting to the Binance Smart Chain as well as other networks. As these networks were cheap as compared to the Ethereum network, they turned out to be the best decisions the investors had ever made.

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