Solana Ventures and the Solana Foundation have formed a $100 million fund to help support the growth of non-fungible token (NFT), blockchain gaming, and decentralized finance (DeFi) projects in South Korea.
In addition to supporting projects built on Solana (SOL), the fund will help keep some projects based on Terra afloat after the collapse of that ecosystem last month.
The Solana Foundation believes that the Terra developers should not be held responsible for what happened on the blockchain network. AT interview As Bloomberg reported on June 8, Solana Foundation General Manager of Games Johnny B. Lee said:
“The developers didn’t do anything wrong, but they were left in the lurch.”
The new fund helps solidify Solana’s goal of becoming the ideal blockchain for gaming. Solana Ventures launched a similar $100 million gaming fund with cryptocurrency exchange FTX and Lightspeed Ventures last November. He also has a $150 million fund with gaming firms Forte and Griffin Gaming Partners.
South Korea is expected to become a hotbed of NFT and Metaverse development this decade as the government allocates $187 million to build its own metaverse ecosystem. The Korean Metaverse will mainly focus on the growth of digital content and digital corporations domestically.
The Solana Foundation is counting on growing interest in game finance (GameFi) and decentralized finance (DeFi) in the country as companies begin to compete for grant money.
The competition to build the best platforms quickly is in full swing, with several South Korean platforms already offering NFT or DeFi access, such as the Klaytn Tier 1 blockchain and the Upbit exchange.
According to DeFi, Klaytn’s largest DeFi platform is KlaySwap, which has a total value locked (TVL) of $274 million. ecosystem tracker DeFi Llama. Upbit, the country’s largest exchange, has its own NFT marketplace.
However, it may be difficult for domestic companies to launch their blockchain-based games in South Korea.
Currently, the law prohibits games from giving monetary rewards, including cryptocurrency. The law prompted Korean officials to demand that Apple and Google remove P2E games from their Korean stores last December.
NFT trading and DeFi activity on Solana have been on the rise in recent months. Solana’s leading NFT market, Magic Eden, is the second largest in the world with 35,526 daily traders and $7.31 million in daily volume after OpenSea, according to decentralized application (Dapp). tracker DeppRadar.
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By providing funding for the growth of the ecosystem, Solana can also address the infrequent network instability that has brought the network to a standstill since last year.
The price of SOL is currently unchanged, down only 0.5% in the last 24 hours, trading at $39.05. data from CoinGecko.
Credit : cointelegraph.com