Blockchain Data Startup The Graph Raises $5 Million In Token Sale
- Ethereum data firm The Graph manages to collect over $5 million from their Initial Coin Offering.
- The company plans on expanding their indexing protocol, allowing for faster and more accurate interactions.
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On 30 June, CoinDesk reported that Coinbase Ventures, along with other big blockchain investment companies like Framework Ventures, Digital Currency Group, Multicoin Capital, and others, have accumulated over $5 million in a token sale for The Graph, a promising blockchain startup, providing essential digital tools for organizing data on the Ethereum blockchain.
The CEO of the company, Yaniv Tal, has openly admitted that “thousands” of developers already use their protocol, including team members of the decentralized exchange Uniswap and the token-fueled Aragon project.
The Graph is an organization that develops APIs for querying networks like Ethereum and IPFS, allowing anyone to build and publish public APIs, known as “subgraphs”, that make blockchain data more easily accessible.
The startup aims to optimize the reachability of transactional data without the usage of harmful proprietary indexing servers that require significant engineering and hardware resources. The ultimate goal is to create a scaling blockchain coordination system that assists developers in efficiently finding any cryptographic data required for their work.
The co-founder of Uniswap, Haydon Adams, said that their analytics site uses the public protocol of The Graph to manage their databases and efficiently get historic data from the Ethereum blockchain.
Public support for The Graph has also been expressed by the Framework Ventures Investor, Michael Andreson, who said that the firm “couldn’t be happier to back Yaniv and the team”. He then added that his company is looking forward to helping in growing the decentralized network of the startup after it launches.
On the other hand, DTC Capital Investor, Spencer Noon, said that he doesn’t expect most users to interact with The Graph token. He has expressed his concerns about users paying with dai or ether, suggesting that the token should rather be used on the backend.
The Initial Coin Offering of The Graph not only grabbed the interest of investors in Ethereum-based services but also brought up many questions about the validity of SAFT agreements in the crypto community.
“We haven’t shared the token distribution yet,” said Yaniv Tal when asked about the ICO. He instead talked about his future plans for the startup and the direction towards which his team will be working. The CEO promises expansion to other blockchains and “a fruitful year” to the decentralized network that will soon launch.
- The frozen funds were allegedly obtained through the illegal sale of pre-issued LUNA tokens.
- Kernel Labs CEO Kim Hyung-joong reportedly held the largest amount of illegal funds, estimated to be at least $61 million.
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- The private MINA token sale was co-led by FTX Ventures and Three Arrows Capital, and saw participation from new and existing backers.
- Most of the raised capital will be used in grants, meant to attract “world-class” developers and accelerate the adoption of the network.
- Instead of equity, investors were able to purchase $230 million worth of AVAX tokens, giving them the right to participate in governance voting.
- The funds will be used to boost DeFi activity on the platform, facilitate grants, token purchases, and investment into projects looking to build on Avalanche.