© Reuters
SAN FRANCISCO – Babylon Chain has successfully raised $18 million in a Series A funding round, marking a significant milestone for the cryptocurrency industry. The investment aims to advance the company’s innovative Bitcoin staking protocol. This protocol is designed to integrate Bitcoin’s proof-of-work system with proof-of-stake networks, without requiring any changes to the Bitcoin network itself.
The funding round, which closed today, was led by Polychain Capital and Hack VC. Hack VC’s Alex Pack expressed confidence in the project’s potential to revolutionize Bitcoin staking. The financial injection will help Babylon Chain develop a decentralized network that facilitates trustless conversions for the Proof-of-Stake economy.
This development follows the release of Babylon’s Minimum Viable Product (MVP) in October, which demonstrated the initial capabilities of its system. The MVP aims to bridge the gap between different blockchain technologies and exploit underutilized Bitcoin resources. Reports from Glassnode have previously highlighted these dormant resources as a vast untapped asset in the blockchain sector.
The recent influx of capital is supported by a consortium of investors with a keen interest in blockchain innovation. Framework Ventures, Polygon Ventures, Castle Island Ventures, Finality Capital and Symbolic Capital are among the contributors who see potential in Babylon’s approach to encouraging new services such as data availability services for blockchain.
Babylon’s initiative is expected to unlock new capabilities within the blockchain ecosystem by allowing existing bitcoin providers to more actively participate in a variety of blockchain-based applications and services. This funding marks significant support for Babylon Chain’s vision and technological approach in an increasingly diverse and evolving cryptocurrency landscape.
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