Algorand Foundation Launches $300 Million Fund to Support DeFi Innovation, ALGO shoots 10%

The Algorand Foundation today announced its new DeFi program Viridis along with a 150 million Algo (worth $300 million USD). The new fund will help to boost DeFi innovation on the Algorand platform.

The fund will go towards the development of money markets, options markets, and decentralized exchanges (DEX) on the Algorand platform. They will also go towards the development of synthetic asset applications as well as NFT platforms. Sean Lee, CEO of the Algorand Foundation said:

“The Algorand Foundation is excited to launch this funding program to help accelerate the adoption of DeFi across the Algorand Ecosystem. Creating the right infrastructure, application ecosystem and liquidity will be key to ensuring that DeFi on Algorand is regarded as the world’s most energy efficient, scalable and low cost DeFi ecosystem”.

Fund Allocation for DeFi Development

• The AlgorGrant Fund gets 50 million ALGO ($100 million USD) that will exclusively go towards the development of decentralized applications (DApps) and DeFi infrastructure. Algorand will also introduce DeFi “SupaGrants” supporting cross-chain bridges.
• Another 100 million ALGO ($200 million USD) will go towards providing liquidity incentives for DeFi and DApps adoption. Thus, quality DeFi projects on Algorand will not face liquidity issues going ahead.

The ALGO Price Rally

Algorand’s native cryptocurrency ALGO has registered a strong price rally making 100% gains in just the last two days. The ALGO price rallied all the way to $2.47 earlier today. As of press time, it is still trading 7.5% up at a price of $2.06 and a market cap of $10.7 billion.

The ALGO price rally comes as the El Salvador government officially approves the Algorand blockchain to build the country’s blockchain infrastructure. Besides, the Algorand blockchain has also seen a strong surge in the DeFi activity on the platform.

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