DeFi-optimized Polkadot parachain Acala launched a $250 million “aUSD Ecosystem Fund”, ACA up to 8%
A DeFi-focused network built on Polkadot Acala (ACA) announced launching a $250 million “aUSD Ecosystem Fund” to support startups in Polkadot’s budding DeFi ecosystem. Acala says the funding will be explicitly granted to teams building use cases for the Acala dollar (aUSD). This crypto-backed stablecoin aims to become the backbone of DeFi on Polkadot and Kusama.
aUSD is a decentralized, multi-collateral, crypto-backed stablecoin serving as the native stablecoin of the @Polkadot and @KusamaNetwork ecosystem.
aUSD is the primary product of Acala, a decentralized finance network powering the aUSD ecosystem.
More: https://t.co/Mmyjrd2qfL
— Acala (@AcalaNetwork) March 23, 2022
Polkadot parachains and VCs team up to Launch $250M Acala USD ecosystem fund
The goal of the Ecosystem Fund is to support and invest in early-stage teams building products and services in the Polkadot and Kusama ecosystem that will drive demand and utility for Acala’s flagship stablecoin, aUSD.
“The fund will be operated by Acala. Teams will apply to the fund on Acala’s website, and then the Acala team will handle vetting of teams, as well as helping prepare teams for fundraising. This support will include engineering, product, tokenomics, community, and fundraising strategy. Once teams are adequately prepared, they will be introduced to participating funds for potential participation in fundraising rounds”, commenting on how the Fund will be operated, Acala’s chief growth officer Dan Reecer stated.
Acala’s goal is for aUSD to become the primary stablecoin of the Polkadot ecosystem. To that end, it has partnered up with nine other parachains sharing the security of the Polkadot Relay Chain to build up liquidity, trading pairs, yield, and overall utility for aUSD across the ecosystem.
The $250 million Ecosystem Fund announced today will help Acala fund early-stage teams building decentralized exchanges, money markets, payments protocols, derivatives, and other products leveraging and increasing the utility of the aUSD stablecoin.
ACA/USD 4-hour chart | Source: TradingView
At the time of writing, ACA is changing hands at $1.28.
Read more:
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- Acala, An Ethereum-Compatible DeFi Protocol For Scaling DApps, Revealed What Lies Ahead For The Project