Reports suggest that The Graph protocol is in for a treat, as multiple investment groups join up to contribute funds worth around $205M to help support the development.
Developers of The Graph protocol are delighted, as multiple investors including, Digital Currency Group (DCG), Multicoin Capital and four other investors have joined up to contribute around $205M to help aid developers in their projects. In terms of current progress, The Graph protocol is currently operating several decentralized applications (dApps) that are constructed on various networks such as, Ethereum, Polygon, Avalanche, Binance Smart Chain and many more.
Details on the Fund
Regarding the information received, a total of six companies will provide a combined generous contribution in the triple digit millions for the development of products and projects by The Graph protocol. The six firms participating include, Digital Currency Group, Multicoin Capital, NGC Ventures, Hashkey and Reciprocal Ventures.
As popularity of decentralized applications continues to grow at a rapid pace with reports predicting that the market for dApps will grow by more than $360Billion after five years of time. So, in order to keep up with that rapid growth, developers need the sufficient tools and fundings in order to produce more solutions as time progresses and to also deal with strong competitors.
As for the generous contributions, they will be specifically utilized to support developers from The Graph that are putting their effort in bringing decentralized products and web3 projects, like DeFi protocols, NFTs, Decentralized Autonomous Organizations (DAOs), dApp tools, graphs and many other useful projects.
Promoting Decentralization and Web3
Craig Burel from Reciprocal Ventures stated that lots of blockchain powered apps are still operated by centralized platforms, so it is important that in order to promote decentralization and the growing market, the six companies have partnered up to provide the necessary funds and resources to the developers of The Graph protocol and help support Web3.
The Hashkey group, that has already been assisting The Graph, will provide its support to bring up products and projects that are related to infrastructure. Hashkey will also be supporting dApps and helping new players have better access to the markets. MD of Hashkey, Deng Chao strongly emphasized that the Web3 products introduced should be decentralized.