The Foundation behind the popular blockchain project – Algorand – has commenced a new initiative aimed at enhancing the developments in the DeFi sector.
In a statement made on September 10th, The Algorand Foundation officially announced the launch of its latest product called Viridis DeFi Program. The Viridis DeFi Program, will be a $300 million fund to support innovation on the Algorand network.
In it, the organization has allocated 150 million of the native cryptocurrency – ALGO – which today has an approximate price of over $300 million.
The aim of this is to support the innovation of DeFi protocols utilizing the Algorand blockchain. It will specifically focus on decentralized exchanges, money markets, options markets, synthetic asset applications, and NFT platforms.
One-third of that amount, re-allocated from the AlgoGrant fund, will go for enhancing the development of DeFi infrastructure and applications (dApps).
Smaller portions under the name “SupaGrants” will support the creation of cross-chain bridges and price oracles. The first such funding will go for protocols aiming to create bi-directional bridges from Ethereum and other chains.
The remaining 100 million ALGO has been assigned to provide liquidity incentives to the Algorand DeFi ecosystem.
“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.” – said the organization’s CEO – Sean Lee.
Notably, that ALGO has been among the best performers in the cryptocurrency space lately. Less than two months ago, it traded at $0.65 when it started its impressive run.
Despite dipping below $1 once again during the market crash on Tuesday, ALGO surged to $2.50 earlier today. This 285% increase since mid-July sent the cryptocurrency to a two-year high.