DeFi ALEX Platform Secures $ 5.8 Million Funding
Decentralized Funding (DeFi) platform ALEX announced on Monday, November 15, new funding in the amount of $ 5.8 million, which will be used for the company’s goal of building its trustless and based DeFi services. on the blockchain.
According to the statement, ALEX will bring “full DeFi services” to bitcoin with its total value of over $ 100 billion locked in the ethereum ecosystem.
The company’s services enable a variety of things, including plans for companies to deploy tokens, fixed-rate and fixed-term loans and borrowings, decentralized exchange using an automated market maker, and a passbook. off-chain orders, deposit tokens that can earn interest and the possibility of higher returns.
The release says that through dynamic collateral rebalancing, ALEX allows people to borrow without worrying about liquidation. Instead of bitcoin having a static value like digital gold, ALEX will “engage bitcoin with the world” and let it grow, benefit society, and contribute to new financial infrastructure goals.
The tour was led by White Star Capital. Other attendees included Cultur3, GBIC, OK Blockchain Capital, and others.
“In traditional finance, you are forced to trust people and the middleman, but all around you there is a lack of trust,” said Dr Chiente Hsu, CEO of ALEX. “With DeFi, you don’t have to trust people and you can verify everything by placing that trust only in code, which can open up opportunities for people looking to take out loans or other financial services. “
Meanwhile, the price of Bitcoin has been tumultuous of late, with a report from Business Insider saying the coin tumbled near the $ 60,000 mark on Tuesday (November 16), due to several “bearish factors.”
These included the passage of the US $ 1 trillion infrastructure bill, which adds stricter rules on taxes on crypto trading, as well as news from China regarding crypto mining. .
The US bill focuses on upgrading the public works system in the country, although it also comes with an appendix adding rules against crypto brokers. The rules state that brokers must report transactions over $ 10,000, but critics say the stipulation is too vague and could attract other crypto workers like miners, traders and node operators.
Meanwhile, in China, the country’s tough decisions in the crypto market continue, with state-owned companies receiving a new warning to stop mining.
The government is trying to make the sector cleaner and reduce the carbon footprint. According to some reports, Beijing is also considering other options, such as increasing electricity prices for institutions that break these rules.
The report notes that Meng Wei, spokesperson for China’s National Development and Reform Commission, said that mining virtual currency is harmful and consumes too much energy, with the risks becoming more evident. lately. The report says China’s electricity consumption increased 12.2 percent from January to October year-on-year.
Despite these developments, bitcoin was soon trading above $ 60,000, according to a report from Fox Business.
Bitcoin had lost more than 5% in value in the last day, at the time of publication, although its value is still up around 110%.
PYMNTS reports that crypto in general is doing well, quadrupling in 2021, now valued at over $ 3 trillion, according to Bloomberg. Bitcoin’s value is a huge part of it, exceeding $ 1,000 billion.
Read more: Cryptocurrency Reaches $ 3T In Value, Another Milestone