Hong Kong-based venture capital firm Chiron has announced that it raised $50 million to back projects on the Terra blockchain. According to the company, the funds will help boost “decentralized finance applications, metaverse-linked non-fungible token (NFT) platforms, and more.”
Growth of the Terra Ecosystem
Terra is a Defi protocol that relies on fiat-pegged stablecoins to power global payment systems. The funding comes as the blockchain’s native LUNA token continues to hit all-time highs, even through the overall market downturn. LUNA has soared over 9,000% this year, with the price breaking $77.00 last month.
Jake Cormack is Chief Operating Officer at Chiron Partners.
“The Terra ecosystem’s growth potential, particularly after the latest Columbus-5 upgrade and announcements on Risk Harbor insurance wrapped protection, is limitless,” said Cormack. “We want to work closely with visionaries behind up-and-coming projects built on Terra, supporting them with not just capital, but also our strategic, extensive resources and expertise.”
Filling Gaps in Digital Assets Space
The new funding for Chiron is termed the Chiron Terra Fund 1, or CTI.
Sean Hung is Founding Partner and CEO of Chiron Partners.
“CTI fills a vital gap in the digital assets space. We truly believe every great project requires a well-built protocol to flourish, and CTI will make that happen. We’re excited to advance our thematic approach and identify promising investment opportunities,” said Hung.
The new funding round also follows Terraform Labs’ recent $150 million funding from a handful of crypto investors like Arrington XRP Capital, Pantera Capital, Galaxy Digital, and BlockTower Capital. The blockchain is reportedly set to have over 160 new projects by early 2022.
Do Kwon is co-founder and CEO of Terraform Labs.
“We’re thrilled to have Chiron Partners join the booming Terra ecosystem as a valuable resource to help equip ecosystem projects and builders with capital, strategic expertise, and other guidance,” said Kwon.
According to industry data, Terra is one of the largest DeFi-oriented blockchains on the market, with total value locked (TVL) over $13 billion. The only other blockchain to have a higher TVL is Ethereum.
Growing Investments in Web 3
Chiron is joining a growing list of companies investing in the metaverse and Web 3 gaming.
Back in the beginning of December, the South Korean-based crypto investment firm Hashed announced $200 million in funding dedicated to growing the Web 3 ecosystem. That funding followed $120 million one year ago.
At the same time FTX, Lightspeed Venture Partners, and Solana Ventures announced a $100 million investment in Web 3 gaming development. The funding will go towards supporting gaming studios and technology that work to integrate the Solana blockchain into desktop and mobile gaming platforms.
With the new announcement from Chiron, along with the previous funding announcements of other companies and the growing Terra ecosystem, the support behind DeFi and Web 3 has never been stronger.