Stanford researcher-led Pledge raises $3M for decentralized lending protocol
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 further participation from U.C. Berkeley professor Gary LaBlanc and Stanford University neighborhood members Ray Wong and Torsten Wendl. The increase will help Pledge in its mission to turn out to be a premier crypto-asset lending platform that finally paves the way in which for tokenized real-world monetary property.
Pledge was created by a gaggle of blockchain-focused researchers at Stanford University, together with professor David Tse, Nicole Chang, Ray Wong and Torsten Wendl. Aforementioned professor Gary LaBlanc additionally contributed to the protocol.
Utilizing Binance Smart 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 aim by permitting customers to diversify their portfolios with non-crypto property 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 information is presently 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. While Aave dominates the DeFi lending market, a number of protocols have launched over the previous yr, every one offering its personal worth proposition.
Related: DeFi attracts 2.91M Ethereum addresses, in accordance with ConsenSys
Currently, just below $44 billion in complete worth has been locked into DeFi lending markets, according to business information. That accounts for simply over half of the overall DeFi market.
DeFi’s development has attracted undesirable consideration from regulators who’re rising extra involved about investor protections and whether or not sure property fall below federal safety legal guidelines. As Cointelegraph not too long ago reported, the United States Securities and Exchange Commission has warned cryptocurrency exchange Coinbase that its proposed yield program violates securities legal guidelines.
Related: SEC vs. Coinbase: Alex Mashinsky says Celsius must ‘wait and see’ on fallout