Coinbase Crypto Exchange and Pantera Capital Lead $4.5 Million Staked Investment
Pantera Capital, a U.S-based investment firm and hedge fund, focused exclusively on funding distributed ledger technology projects Coinbase Ventures, as well as several heavyweights in the cryptospace, currently lead the $4.5 million funding round of Staked, a startup that provides institutional investors and high net worth individuals with the technical infrastructure for non-custodial staking services.
Here Comes the Game Changer
Notably, a number of highly reputed firms including Winklevoss Capital, Global Brain, Fabric Ventures and Block tree Capital are also participating in the funding round.
According to the team, Staked will make it possible for investors to compound their digital assets by participating in the validation process of proof-of-stake blockchain networks.
Reportedly, Staked gives its clients the power to determine the blockchain protocols its builds infrastructure for and at current, the platform supports a significant number of distributed ledger technology (DLT) projects, including Tezos, Dash, Decred, Livepeer, Factom and EOS, with more cryptoassets coming soon.
Of a truth, different blockchain projects have different staking features and requirement. However, Staked is poised to help its users handle the complexities of staking and let them concentrate solely on their returns.
Staked Earns a Maximum of 10 Percent of the Earnings of each Client
Importantly, Staked has tailored its business model in a way that allows it to earn a maximum of ten percent of the earnings of its customers’ staked coins, provided its network remains online during the entire duration of the staking.
However, if it experiences a network downtime, its earnings will also shrink accordingly.
“If your digital assets are going up 100x in a few months, you probably don’t care as much about a 10 to 15 percent yield,” declared Tim Ogilvie, co-founder and CEO of Staked.
While Staked is crafted explicitly for institutional investors, the platform has hinted that it also provides a white label version of its services to cryptocurrency exchanges and wallets.
Staked Lending in the Pipeline
If all goes according to plan, Staked says it plans to introduce a lending system that will make it possible for cryptocurrency investors to put their tokens into firms that allow them to lend those digital assets to other people and earn interest.
The Staked team says highly functional smart contracts will power the lending platform and users will get the best rates available on the market.
Explaining the idea behind the entire Staked project, Ogilvie reiterated that:
“We realised the combination of assets moving to proof-of-stake as a security model and cryptocurrency holders looking for passive yield on their digital assets, created the emergence of a need for a company like Staked.”