MakerDAO Raises $27.5 Million as Part of Asian Expansion Plan
December 19, 2019, by Marko Vidrih on ALTCOIN MAGAZINE
Venture companies Dragonfly Capital and Paradigm invested $27.5 million in the ecosystem of the decentralized autonomous organization MakerDAO, in return receiving 5.5% of the total MKR token offer. The initiative aims to increase the reach of the stablecoin project in the Asian market, writes The Block.
In September 2018, the Maker Foundation sold 6% of MKR to Andreessen Horowitz for $15 million. With the last round, three venture companies had 11.5% of the total voting right in deciding on the activities of MakerDAO.
According to the CEO of the Maker Foundation, Rune Christensen, the stablecoin Dai released recently has been of great interest among Chinese investors, and additional development efforts in this region could increase the demand for decentralized financial services (DeFi). Currently, the stablecoin USDT continues to dominate on the Asian market.
Christensen said the Maker Foundation had been negotiating with Dragonfly for a whole year, but only recently decided to accept the firm as a strategic investor, becoming interested in potential support for the Asian expansion.
“The Maker Foundation has always been very well capitalized, so we have been very focused on making sure that we distributed the limited 1 million MKR tokens as well as possible. So basically when they approached us in the past they just didn’t fit in with our current strategy, essentially,” Christensen added.
Earlier, OKEx, with a strong presence in Asia, realized the possibility of receiving interest payments for Dai holders on its platform.
Author: Marko Vidrih
