Many structural capital is invested in the DeFi area as top coins rebound strongly from their lows. For certain contexts, after the local lows, the top coins in this region have risen massively. Over the past two weeks alone the Yearn.finance ‘s YFI, AAVE, Synthetix Network Token and many more have earned 100 percent. Analysts expect more gains as the dynamics of this developing region continue to develop at a rapid pace.
According to newsbtc.com, galaxy Digital has started to invest in the space after some hesitation regarding DeFi due to security and regulatory uncertainties. Galaxy Digital is a leading crypto-asset and multifaceted merchant bank led by Mike Novogratz, an ex-Goldman Sachs associate.
The firm announced in its recent Q3 earnings report: “During the third quarter of 2020, the Principal Investments team closed six new and four follow-on investments, representing $7.5 million of invested capital… Galaxy Digital invested in two of the most prominent DeFi, or Decentralized Finance, investment funds in the sector, ParaFi Capital and Robot Ventures.”
Robot Ventures is a venture fund co-founded on a complete locked valuation and the native token value by the founder of Compound, one of Ethereum’s leading protocols of DeFi. Robot Ventures is a venture fund co-founded by the founder of Compound, one of the leading DeFi protocols on Ethereum by total locked value and by its native token value.
Company president Chris Ferraro commented on the matter: “We’re making investments in technology around implementing into DeFi as opposed to necessarily interacting with the DeFi protocols ourselves. They’re still pretty small.”
Polychain Capital, one of the largest funds in the cryptocurrency market, has recently been confirmed to have purchased a large amount of YFI from Binance. The business currently holds about 2% of all coins in circulation, which makes it a driving force in the protocol. This came shortly after it was revealed that Jump Trading, a prominent Wall Street trading firm, had deployed $5 million into leading DeFi coin COMP.