Stellar Development Foundation Forms $30M Fund for Blockchain Startups

Key Insights:

• SDF launches new Matching Fund for early-stage blockchain projects.
• The Fund is seeking to invest in pre-seed and Series B projects.
• XLM price is on the verge of a breakout.

The Stellar Development Foundation (SDF) has established a new $30 million Matching Fund to provide more early-stage firms access to funding.

According to a news release today, SDF is seeking to invest in pre-seed and Series B firms interested in using the Stellar blockchain. It has established this Fund as a means for these businesses to access funding.

Also, it revealed four new projects it funded in the payroll and remittance industries across the world.

The four projects include Trace Finance, Bitwage, Afriex, and FanVestor. The funds also focused on NFTs and cross-border remittance solutions.

The Matching Fund is a way for SDF to attract investors by assisting with early-stage experimentation for real-world practical use instances that benefit more consumers, according to Andrea Lo, SDF’s Head of Investments. He added,

“In 2022, we’re putting our funding behind more innovators in geographies that need blockchain-powered solutions. The Stellar ecosystem is working to address challenges like inflation, affordable remittances and the high cost of capital, and we’re investing in solutions to these problems through the Matching Fund.”

The Crypto Market and Venture Capitalists

While the number of global venture capital firms investing in the cryptocurrency industry has increased over the last year, some of the world’s leading players in the blockchain industry have launched their venture capital arms to help facilitate the developing market and new platforms.

Cake Defi, a Singapore-based financial technology firm, announced the creation of a $100 million venture capital arm last week to invest in projects focused on Web3, Metaverse, Blockchain, and Fintech spaces.

Stellar Lumens XLM Price Analysis

In recent weeks, XLM has seen a succession of higher lows and lower highs. This type of compressive price action suggested that a breakout was imminent.

Trading at $0.179, a close above $0.188 or below $0.174 would be required to validate the next move’s direction.