Plasma, a cryptographic startup that builds a Bitcoin -based block chain designed specifically for Stablecoins, raised $ 20 million to promote its development, the company said Thursday.
The fund collection round was directed by Framework Ventures and will admit the Testnet and Mainnet Plasma launches, as well as their expansion to remittances, payments and applications, said the team.
The investment followed a round of $ 4 million with the first sponsors, including Bitfinex, the CEO of the Stablecoin issuer, Paolo Ardoino, the risk capitalist Peter Thiel and the prominent cryptographic merchants Cobie and Zaheer Ebtikar, also known as Split Capital.
The stable have become a dominant force in cryptographic that exceed $ 220 billion in supply, and are increasingly used for daily payments and savings. While Bitcoin is the longest block chain, most of the stablecoin activity occurs in newer chains such as Ethereum, Tron and Solana.
Plasma is designed to be a side chain in the Bitcoin block chain with a complete compatibility with the Ethereum virtual machine (EVM), which supports a large part of the decentralized financial activity. The team said that its objective is to address the challenges facing stablcoins in existing blockchains, such as high rates and scalability limits by taking advantage of Bitcoin’s safety and offering zero rate USDT transactions.
“Stablecoins is the clear winner in the adoption of Blockchain, but they are treated as second -class citizens in current blockchains,” said Paul Faecks, founder and Plasma CEO, in a statement. “By taking advantage of Bitcoin as a base, the USDT transfers of zero tariff, along with an ecosystem and infrastructure specially designed for stables with deep liquidity, plasma creates the safer, scalable and efficient block chain for nausea in the market.”
