KR1 invests $0.15m in project Lido for 15m Lido Tokens
(AQSE: KR1 ) has invested a total of US$0.15 million in the Lido project, a liquid Ethereum 2.0 staking solution project, in return for 15,000,000 Lido ("LDO") tokens.
Users can now earn Ethereum ("ETH") staking rewards with no lockups or minimum deposits, whilst contributing to the security of the recently launched Ethereum 2.0 blockchain.
Through issuing a proxy token - staked ETH ("stETH") - Lido, which is backed by several top staking providers, creates a liquid alternative for staked ETH, allowing tokens that are locked up to be transferred, traded and used across other Ethereum DeFi applications.
As such, Lido's stETH token could become an important base primitive in DeFi, and a foundational building block for the Ethereum 'money-lego' stack, the company outlined.
Commenting on the investment, George McDonaugh, MD and Co-Founder of KR1 commented, "We were very pleased to see the recent launch of the first phase of Ethereum 2.0's roadmap and the ensuing enthusiasm from the community for staking ETH.”
He added, “With such a large and diverse community of ETH holders, there is huge demand for innovative staking products and Lido has created a very compelling offering. Their focus on simplicity, great user experience and flexibility will garner huge interest and we're excited to be involved at such an early stage."
Reasons to Follow KR-1
KR1 is Europe's leading digital asset investment firm supporting early stage blockchain and DeFi projects. It is a first investor in many key blockchain and DeFi projects that will power the decentralised platforms and protocols that form the emerging Web3 infrastructure.
Leading IP
KR1 unveiled back in August 2020 that it had started generating material revenue from staking activities on the Polkadot network, its largest investment and portfolio holding to date.
The company has been staking activities on Polkadot to generate revenue on an ongoing basis following its migration to a ‘Proof-of-Stake’ blockchain network back in June 2020.
To date, KR1 holds a total of Polkadot 3,558,490.89 DOT tokens, post-re-denomination. This differs from its original DOT allocation as a result of the bonus pool of unlisted digital tokens allocated pursuant to KR1’s 2017 bonus scheme, which included Polkadot as an asset.
Material Revenue
George McDonaugh, Managing Director and KR1’s Co-founder, described the launch of Polkadot as “a momentous event” in the group’s history and one that shareholders have been waiting for since KR1 backed the project in an early funding round in 2017.
Commenting on the group’s largest investment activities, McDonaugh told investors: “We are pleased to have locked in some profit at good prices and we're delighted that Polkadot is further expanding the Company's staking activities as a yield-bearing asset."
Positive Outlook
McDonaugh said KR1 is seeing huge interest flowing into numerous new projects building on Polkadot, many of which it has already supported, or currently in active discussions.
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