Matic Network Launches A $5M ‘DeFi Incubation’ Fund Aiming To Challenge Ethereum’s Dominance
- Matic Network (MATIC), an Ethereum Layer 2 scalable solution will set aside 45 million in MATIC tokens to open a DeFi incubator fund.
- The fund aims at enticing the ‘lively’ decentralized finance (DeFi) market projects on to building on the blockchain.
Over the past few months, the blockchain ecosystem has witnessed a huge growth in the number of DeFi projects with most of them built on the Ethereum platform. As the market for these “new fintech projects” products grows, Matic aims at pushing some of them to its blockchain from Ethereum.
The Matic lead development team statement on Aug 3, the company will set aside an equivalent of $5 million in Matic tokens, currently trading at $0.02. This follows the recent launch of its first ever staking mainnet, two months ago, with the first validator also going live at the same time.
Matic network aims at providing scalability improvements for decentralized applications (DApp) by using a combination of Proof-of-Stake (PoS) and Plasma-enabled sidechains. With the platform, DeFi projects will have a cheaper and faster platform with ready interoperability with the Ethereum blockchain.
The latest Matic test run carried out in July showed the platform is nearly 1000x faster than its parent chain, ETH, with an ability to carry out 7,200 transactions per second (TPS).