newslogical.com
Dragonfly Capital Partners and Paradigm have acquired around 5.5% of Maker token Supply, NewsLogical has learnt. The acquisition by Dragonfly and Paradigm amounts to $27.5 million worth of Maker (MKR), and would be used to support Maker’s efforts in bringing DeFi to China and some other parts of Asia.
In an announcement by Maker Foundation, the two firms will participate in the decentralized governance of Maker Protocol.
The collaborative acquisition is geared towards supporting the effort of Maker to increase adoption in Asia of Dai, said to be the leading stablecoin of decentralized finance (DeFi) and the planet’s maiden decentralized stablecoin built on the Ethereum blockchain.
The acquisition also gives Maker open access to both Dragonfly and Paradigm’s expertise in the Asian market, a post by Maker Foundation has said.
Early, the Maker Foundation sold $15 million worth of Maker, around 6.5%, to venture capital Andreessen Horowitz. With the two selloff, close to 12% of Maker Dao is being controlled by two business entities.
One of Paradigm partner, Charlie Noyes, said the acquisition was done for the fact that MakerDAO is synonymous to decentralized finance. Charlie said the MakerDAO mechanism enables worldwide unhindered access to credit.
To CEO of the Maker Foundation, Rune Christensen, said the unflinching support and expertise by paradigm and Drangonfly Partners will strengthen Dai to drive adoption and innovation across Asia.
However, Alexander Pack, managing partner of Dragonfly Capital, sees Asia as the caliphate of cryptocurrency, saying the home to the largest number of unbanked and underbanked people will receive decentralized finance with joy.
At the moment, there are around 100 million Dai in circulation and more than 16 million Dai locked in the DSR contract. Now, the number of addresses with Dai increases by over 27% every month, with over 400 active integration partners across the globe.