Blockchain.com Ventures, Eden Block, and DACM are among the names that have made a massive total investment of $9.3 million in Pocket Network.
It was reported today that these firms have bought $9.3 million worth of the Pocket Network token (POKT). Purchases that will decentralize blockchain infrastructure, and challenge Ethereum (ETH) node provider Infura.
The current amount locked in staked POKT now totals to nearly $190 million.
Pocket Network is a blockchain data ecosystem for web3 applications. It’s a decentralized network that relays data to and from blockchain applications. Participants are, in turn, rewarded in POKT, in order to create an incentivized network of node providers.
“It’s clear the Web3 community cares about private, cost-efficient and decentralized infrastructure,” Pocket Network CEO Michael O’Rourke said.
What problems is Pocket Network solving?
Prior to the Pocket Network’s launch back in July 2020, decentralized applications depended on legacy single-service providers to run their nodes. A frustrating issue for web 3 developers, made even worse when the Ethereum node provider, Infura went down, in November 2020.
“When Infura went down […], Metamask, most of the DeFi front ends and even exchanges like Binance, all suffered major outages,”explained Lior Messika, CEO of Eden Block.
Messika also stated that “massive single points of failure defeat the purpose of building decentralized applications, but up until now there has been no alternative.”
Eden Block is a venture platform that specializes in the real-world application of blockchain technology. It’s one of the firms involved in this multimillion-dollar POKT purchase, alongside Blockchain.com. The crypto services provider that earlier this month revealed it had raised $300 million in funding last quarter.
Its co-founder and managing partner, Samuel Harrison, added:
“Pocket Network simultaneously increases the decentralization and redundancy of mission-critical infrastructure, while also significantly lowering costs. This is a highly coveted but rare combination that aligns perfectly with the core philosophy of blockchain technology.”
Messika and Harrison join a roster of participants that also includes Richard Galvin, DACM’s co-founder and CEO, Mechanism Capital, LD Capital, and CMS Holdings. Professional node service providers like Skillz, Rivet, and Chainflow, as well as DAOs like Metacartel Ventures, are also part of the network.
Meanwhile, SKALE nodes, API3 and WEB3API are among the web 3 applications that use Pocket Network.