Ethereum-based data startup, The Graph, has revealed that it has raised $5 million after its token sale.
The San Francisco firm announced on Tuesday that the new token sale, utilizing the Simple Agreement for Future Tokens (SAFT) model, for various accredited investors.
Among the participants were highly reputable firms such as Coinbase Ventures, ParaFi Capital, Framework Venture, as well as Digital Currency Group. Previously, the company had acquired $2.5 million during the seed round, which was led by Multicoin Capital.
The Graph has developed an indexing platform that will help organize blockchain data for easy accessibility. Individuals can utilize The Graph's open-source platform for searching specific Ethereum data just as is the case with Google search.
According to Yaniv Tal, The Graph CEO, there are thousands of developers who are already using the firm's tools, which includes the team that came up with decentralized exchange (DEX) Uniswap as well as token-fueled Aragon project.
Hayden Adams, Uniswap's co-founder, confirmed that they use The Graph's tools for Uniswap.info – the company's analytics site.
Speaking to the press, Framework Ventures' Michael Anderson, one of the lead investors, stated that his firm was pleased to support Yaniv and his team. According to Anderson, his firm would help The Graph to grow further once it launches. Anderson also stated that The Graph's reputation was at par with that of Chainlink as well as Ethereum.
At the moment, The Graph is a hosted service but, plans are underway to ensure it moves to a decentralized network before the end of the year.
The Graph was founded in 2018 and currently services thousands of applications. The firm claims that it processed approximately 50 million queries every day, and in May, it processed 750 million queries, which represented an increase of 45% compared with April.
SAFTs are designed to allow firms to sell the rights to future tokens that are only available once the network is launched. The format was developed to ensure that a startup isn't operating an unregistered securities sale.