In the fast-paced world of cryptocurrencies, new projects and fundraising rounds continue to attract attention from investors and enthusiasts alike. One such project making waves in the industry is Stroom Network, which recently announced a successful funding round totaling $3.5 million. This funding will be utilized for team expansion and the launch of Bitcoin “liquid staking” on the Lightning Network.
Funding and Backers:
Stroom Network’s recent funding round saw contributions from various backers, including Greenfield Capital, Lemniscap, Ankr, and Cogitent Ventures. These investors believe in the potential of Stroom Network’s liquid staking protocol, which aims to bring innovative solutions to the world of decentralized finance (DeFi).
Liquid Staking Protocol:
Stroom Network’s liquid staking protocol is built on top of the Bitcoin Lightning Network. This protocol allows Bitcoin holders to stake their coins and earn passive income while maintaining their liquidity. By unlocking the potential value of staked Bitcoin, users can participate in the growing DeFi ecosystem without sacrificing the benefits of holding a liquid asset like Bitcoin.
With the newly secured funds, Stroom Network plans to further develop and launch their Bitcoin liquid staking protocol on the Lightning Network. Additionally, the company intends to release an Ethereum-based wrapped token called lnBTC, which will enable the integration of liquid staking into the Ethereum ecosystem. This expansion into Ethereum showcases Stroom Network’s commitment to interoperability and fostering collaboration between different blockchain networks.
Implications for the Crypto Industry:
Stroom Network’s funding success highlights the growing demand for innovative solutions within the cryptocurrency industry. Liquid staking presents an exciting opportunity for Bitcoin holders to actively participate in the DeFi space while maintaining the security and liquidity attributes of their Bitcoin holdings. This development could potentially attract more investors to the cryptocurrency market, especially those who were previously hesitant to lock up their Bitcoin assets.
Stroom Network’s successful funding round of $3.5 million demonstrates the growing interest in their liquid staking protocol for Bitcoin on the Lightning Network. With backing from notable investors, the project is well-positioned to bring this innovative solution to the DeFi landscape. As cryptocurrencies continue to gain mainstream attention, projects like Stroom Network are paving the way for increased adoption and integration of various blockchain networks. Keep an eye out for future updates on Stroom Network’s progress as they work toward launching their liquid staking protocol and lnBTC.