Funds active in DeFi space power liquidity protocol on Solana

Centralized exchanges remain one of the most popular vehicles for investors to buy, sell and exchange cryptocurrencies, a reality that is often likened to the level of security and monitoring that third parties can provide to end users. Consider that without a centralized exchange, thousands or even hundreds of thousands of dollars could be lost if investors forget their private keys.

While many see the benefits of centralized exchanges, the concept is misleading when compared to the decentralized assets investors use in trading. In addition to centralization, there have been some hacks, fraud, market manipulation, and artificially inflated transaction volumes. For this reason, the decentralized management and trading of digital assets continues to gain popularity and is now positioned as the new foundation of the financial world. Decentralized infrastructure leads to a more transparent, resilient, and less corrupt exchange system.

To realize this concept, Alf Protocol was born to maximize liquidity provision (LP) in a way that efficiently handles the use of capital between traders and investors, through AlfMM (a DEX service) Functionality provided within the niche ecosystem formed around the Solana (SOL) network.

Leveraging Solana's strong foundation, Alf is effectively a family of protocols that brings traders of all risk levels together to trade, facilitate liquidity and maximize capital efficiency. Leveraged positions are currently available through leveraged long and short trades and LP liquidity mining.

To further improve the liquidity of the blockchain, they have also signed several partnerships with some venture capitalists (VC). The team believes these partnerships are critical to Alf Protocol's ongoing efforts to work with the community.

foundation of mobility

Notable VCs investing in the project include DustVentures, Zen Capital, Dib Ventures and Scorpio, Alpha Hunt VC, one of the main goals of which is to further advance the protocol by providing liquidity.

Zen Capital is considered one of the most active VCs in the space, focusing on the DeFi industry, protocols, blockchain-powered games and the larger metaverse. The fund has already shown interest in the potential of the digital economy, with Ertha, Spellfire, Solchicks and ReadyplayerDAO already in its portfolio.

In addition to zcapital, there is Dust Ventures, a venture capital firm with a history of investing in promising cryptocurrency projects and startups. The team incubates these projects by supporting them early on, guiding them in their continued efforts to bring about breakthrough innovations in the cryptocurrency space.

Investment fund DibVentures has also joined the ranks, focusing on blockchain technology and the larger digital currency ecosystem. The breadth of experience their team has is evident in their dedication to identifying, researching and funding projects that they deem disruptive in the industry.

Another company worth watching is Scorpio VC, an asset management company that manages short-term quantitative funds, digital asset funds, e-commerce and real economy projects, etc. Key to their efforts is the ability to address the financial difficulties and resource issues of SMEs, increase liquidity and expedite the development of related projects.

Last but not least is the Alpha Hunt Club, a group of seasoned investors who work with young blockchain and cryptocurrency companies to help accelerate their growth. The team continues to look for new and exciting projects in the blockchain space to form mutually beneficial relationships.

inspirational participation

The team's continued success has been evident over the past year, with a large number of venture capital firms joining the program as strategic partners.

To continue the momentum, the team shared their goals through 2022, which include full development and launch of the protocol, as well as several new partnerships.