Venture capital firm Sequoia Capital led a financing round for the Ethereum layer 2 scaling solution Polygon, becoming the latest Silicon Valley company to invest in the Web3 space.
- According to CNBC on Monday (February 7, 2022), Polygon recently raised $450 million, with Sequoia Capital leading the investment.
- Other companies involved in the fundraising round include Softbank, Alameda Research, Tiger Global, and Galaxy Digital. Prominent individuals such as Reddit co-founder Alexis Ohanian, billionaire hedge fund manager Alan Howard, and TV personality Kevin O’Leary also participated.
- Meanwhile, Polygon is looking to allocate $100 million to a dedicated “ecosystem fund,” which would be used to support upcoming development on the network. The remaining capital would be geared towards continuously robust growth of the platform.
- This fundraising round comes less than two weeks after Polygon hired Ryan Wyatt, Head of YouTube Gaming, as the new CEO of its game studio called Polygon Studios.
- The news about the massive funding round has also coincided with a surge in the price of MATIC, Polygon’s native cryptocurrency. Since the story hit the wire, the asset has gone up more than 15% to nearly $2 as of the time of writing.
- Also, the entire crypto market is enjoying a “green day” with asset prices on the rise. Bitcoin leads the way by reclaiming $44,000 for the first time in nearly a month.