In the largest crypto raise of 2024 so far, Monad Labs, the company behind the emerging layer-1 network Monad, on Monday secured a whopping $225 million in funding from a round led by the crypto venture giant. paradigm.
This procurement was also supported by virtual currency VCs. electric capital and a technology investment company. green oaksThis means that the yet-to-be-launched Monad will provide a fast, affordable and reliable decentralized finance (DeFi) alternative to both the Ethereum ecosystem and Layer 1 networks like Solana. , constitutes an important statement of faith by the cryptocurrency mainstream.
Founded in 2022 by Jump Crypto alumnus Keone Hon, Monad is an Ethereum Virtual Machine (EVM) compatible network that aims to fill what is seen as a gap in the current cryptocurrency landscape. It is a blockchain that can easily interact with the Ethereum ecosystem. It clearly has the ability to handle very high traffic while remaining fast, cheap, and secure.
Indeed, there are many blockchains that claim to already meet that standard.follow landmarks Denkun upgrade last month, Ethereum like a layer 2 scaling network Arbitrum, optimismand base Confirmed transaction costs plummet Almost to zero. But if usage increases significantly on any of these networks, gas prices would rise significantly. almost certain to spike.
Non-Ethereum layer 1 networks, especially Solana, has skyrocketed in popularity in recent months.especially DeFi users—For speed and low fees.But Solana was also suffering. repeated power outages This is because they are trying to expand as much as possible to become a cornerstone of the cryptocurrency ecosystem.
By providing complete functionality, E.V.M.Monad, the software that powers Ethereum and all networks built on top of it, leverages the dominant influence Ethereum has with crypto users and developers, while at the same time creating a more streamlined version of the network. It looks like you are trying to build from.
It also appears to be a ploy to attract top-level developers.according to January report According to Electric Capital, approximately 90% of crypto developers are working on multiple chains. Use EVM.
Other layer 1 networks that are compatible with EVM already exist. avalanche and BNB chain, the latter was created by Binance. But Monad Labs' funding today certainly marks the splashiest entry yet into the crowded blockchain ecosystem since the 2022 crypto crash.
“We are excited about Monad because it solves one of the critical scalability bottlenecks in the Ethereum ecosystem: the Ethereum Virtual Machine,” said Managing Director of Electric Capital. said partner Avichal Garg. Decrypt. “Monad's parallel EVM increases the throughput of the EVM ecosystem by 100x, enabling decentralized applications for consumers. ”
Prior to today's news, Monad Labs previously raised the following issues: $19 million Seed funding round in early 2023 led by Dragonfly Capital.
Edited by Andrew Hayward
