SKALE Network: Ethereum scaling project raises $17.1 M for mainnet launch

SKALE Network is a blockchain scalability program built on the Ethereum blockchain. According to their website SKALE is an Ethereum compatible Layer 2 proof of stake network that provides the benefits of decentralization while providing excellent security.

SKALE Network fundraising

Now SKALE Network has raised over seventeen million dollars ($17.1M) for the launch of its mainnet. The funds included seven million dollars raised in recent financing as well as a ten million dollar contribution by SKALE Labs. SKALE Labs is the parent company behind the network. The firm claims that the project is Ethereum’s best chance at beating other smart contract platforms.

Nineteen investors participated in the network’s financing round. These include Winklevoss Capital, Blockchange and ConsenSys Labs among many others.

The funds received from SKALE Labs come from a previous financing round. The funds were earned via a ten million dollar ($10M) Simple Agreement for Future Tokens. These included around nine million dollars ($8.68M) funds by Multicoin Capital. Furthermore, around eight hundred thousand dollars ($785k) were less than a million dollars by investors last year.

These investors believed in the potential of the SKALE Network. An official from Multicoin Capital noted that the network has grown significantly since last year. The official was impressed by their planning and executing. He believed that in due time a majority of Ethereum smart contracts will be utilizing the SKALE Network.

Ethereum network has been facing the scalability problem for a long time. There are various ongoing projects with SKALE Network being the latest attempt at improving Ethereum scalability. Previous projects include bloXroute Labs’ Blockchain Distribution Network.

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