Chiron Partners, a venture capital firm operating out of Hong Kong has launched a $50 million fund dubbed the Chiron Terra Fund I (CTI) and will help in bolstering the growth in the Terra ecosystem. According to the firm’s announcement, the funds will specifically target projects at the intersection of decentralized finance (DeFi) and “metaverse-linked” nonfungible token platforms.
Terra is one of the most functional blockchain networks around today and is designed using Cosmos SDK and Tendermint. Terra is a well-acclaimed (DeFi) protocol that uses stablecoins to power the global payment ecosystem. Powered by LUNA, a native token that naturally absorbs the volatility of the network’s underlying stablecoins. Terra has notably seen a lot of upgrades in the past year that are bound to usher in hundreds of new projects that will build on the platform from 2022. Some of these projects are bound to be backed by Chiron Partners using the new funds.
“The Terra ecosystem’s growth potential, particularly after the latest Columbus-5 upgrade and announcements on Risk Harbor insurance wrapped protection, is limitless,” said Jake Cormack, chief operating officer at Chiron Partners. “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.”
Terra Has Laid the Foundation for Ecosystem Growth
Beyond the Chiron Partners ecosystem fund, Terra has notably laid the foundation for protocols looking to take advantage of its network designs. The blockchain protocol raised a $150 million fund back in July with the primary aim of powering the success of emerging projects on the network.
The broader Terra Ecosystem Fund was backed by Arrington Capital, BlockTower Capital, Galaxy Digital, Hashed, Lightspeed Ventures, Pantera Capital, and Parafi amongst others. The emergence of CTI is a testament to the recognition of the quality projects that are making their way onto the blockchain.
Terra is amongst the best performing cryptocurrencies this year. Despite the incessant price corrections that have been recorded in recent times, Terra (LUNA) has grown by 13858.2% in the Year-to-Date period and currently trading at $71 per data from Coingecko. The protocol ranks next to Ethereum in terms of total value locked (pegged at about $13.06 billion) on its accompanying DApps per data from DeFi Llama.
Terra has had its fair share of struggles as the CEO Do Kwon reportedly filed a lawsuit against the US SEC back in October on grounds of public harassment. While the SEC sought an avenue to probe the startup, Kwon’s lawyers said the regulator has no jurisdiction over Terraform Labs.