Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Karura Raises $100M, Kusama Soars Ahead Of Parachain Auction

By Crypto BriefingCryptocurrencyJun 10, 2021 08:06AM ET
www.investing.com/analysis/karura-raises-100m-kusama-soars-ahead-of-parachain-auction-200585315
Karura Raises $100M, Kusama Soars Ahead Of Parachain Auction
By Crypto Briefing   |  Jun 10, 2021 08:06AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

Karura's crowd loan of $100 million puts the project in a good position for Kusama's upcoming parachain auction.

Key Takeaways

  • Karura Network has raised 200,000 KSM tokens worth over $100 million in a crowd loan.
  • The funds will be used to bid in the Kusama's upcoming parachain auction.
  • Ahead of the parachain auctions, the price of KSM has risen sharply.

Karura, an Acala sister project on Kusama, has raised more than $100 million in KSM as part of a crowd loan. The funds will be used to bid in Kusama’s upcoming parachain auction.

Karura to Bid $100 million in Parachain Auction

Karura Network has raised $100 million from its community to bid for a parachain on Kusama.

The team announced that 200,000 KSM tokens were lent to the team came from more than 8,500 contributors, mostly via Karura’s own portal.

Karura is hoping to run a parachain that provides a full suite of DeFi services on Kusama, including a cross-chain automated market maker and a stablecoin collateralized by various cross-chain assets. Karura is the sister project of Acala Network, one of Polkadot’s key DeFi hubs. Both Karura and Acala are backed by some of the biggest venture funds in the crypto industry, including Coinbase Ventures.

Polkadot and Kusama are designed to connect 100 application-specific parachains plugged into a central Relay Chain. However, there are a limited number of parachains, meaning that projects planning to launch on the network need to win a slot via auction.

Parachain slot auctions for the Polkadot ecosystem are all set to begin from Jun. 15, with the first batch of auctions will be for the Kusama Canary Network. Projects hoping for a parachain slot will need to bid using KSM, Kusama’s native token.

To raise enough funds, various projects are organizing crowd loans in exchange for native parachain tokens. In the case of Karura, its community was able to pool together a loan of 200,000 KSM worth $100 million. Ruitao Su, co-founder and CEO of Karura and Acala thanked the community for the support. Su Said:

“This level of support for our launch of Karura on Kusama, and later Acala on Polkadot, is proof of the positive demand for interoperable, decentralized financial products. We are grateful for such incredible support, and are excited to introduce our DeFi products to the world.”

According to the crowd loan terms, contributors who lent one KSM token will receive 12 KAR tokens in return. After the parachain launch, the loaned KSM tokens will be locked for a period of 48 weeks.

With parachain auctions closing in, it may finally be time for the Kusama and Polkadot ecosystems to realize their potential. Soon, other teams will also disclose how much they have raised in preparation for the auctions.

Polkadot’s founder Gavin Wood announced that parachain auctions were ready to go live on Kusama earlier this week, leading KSM and DOT to rise in price despite prevailing bearish sentiments across the market. KSM has jumped from $365 to $525 in the last two days, up roughly 40%.

Original Post

Karura Raises $100M, Kusama Soars Ahead Of Parachain Auction
 

Related Articles

Tim Knight
Overhead By Tim Knight - Sep 24, 2021 1

Just yesterday morning, I did a premium post called Three Exceptions in which I told Slope’s Gold and Platinum users of the three, and only three, cryptos which I had decided...

Karura Raises $100M, Kusama Soars Ahead Of Parachain Auction

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email