Chinese DeFi raises over $1.5 million in a recent funding round

Written by: Ali Raza
April 28, 2020
  • Chinese DeFi startup, dForce, managed to raise $1.5 million in a recent funding round.
  • The round saw several high-profile participants, including Huobi and CMBI.
  • The round's leader, Multicoin Capital, said that dForce is creating a super-network of DeFi.

Chinese DeFi startup, dForce, recently held a very successful funding round. The Decentralized Finance firm managed to raise $1.5 million in total.

Multicoin Capital leads the funding round

The round saw participation from quite a few major companies in China. But, its unquestionable leader was Multicoin Capital. Other participants included CMBI (China Merchants Bank International), and Huobi Capital.

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Huobi itself is one of the biggest crypto firms, while CMBI acts as the investment arm of one of China’s largest banks.

However, Multicoin Capital’s participation made headlines, as the company provided a lot of support. Its principal, Mable Jiang, stated that: “dForce is building the first ‘super-network’ of DeFi protocols.

Jiang, of course, referred to the so-called ‘super-apps’ such as Kakao or WeChat, which millions use on a daily basis. Apps like these are very easy to use, and they provide a seamless experience. This is an equivalent of what dForce wishes to do in DeFi industry.

Jiang further added that the dForce ecosystem is bound together by $DF, which is its platform’s native cryptocurrency. Ecosystem users can benefit from the token by lending, borrowing, and earning new funds. Best of all, they can do it without ever having to switch platforms or even digital assets.

dForce makes this possible by using multiple financial protocols. In fact, there are two key protocols — the fiat-backed stablecoin USDx, and its lending platform, Lendf.Me.

A rapid success of dForce’s young platform

The platform is not particularly old — it only saw launch last September. However, since then, it became the DeFi market’s seventh-largest platform by value alone. It currently has more than $713 million in value. The platform’s growth started soon after it added support for USDT and included imBTC as an option for collateral.

The project also saw some controversy. The issue revolved around recent allegations that it stole  Compound’s copyrighted code. Soon after the allegations, dForce added attribution to Compound.