Burnt Finance is a startup in the cryptocurrency domain that is working extensively on the idea of improving the auction process related to non-fungible tokens (NFTs). In order to expand its presence among potential investors and users, the organization has now raised $3 million in a funding round that is primarily led by the Alameda Research and Multicoin. This money will be utilized in order to build an Auction protocol based on the decentralized technology to further help enhance the auction processes related to digital assets. Burnt Finance aims to build a new protocol on the blockchain network of Solana.
In terms of the total money raised by Burnt Finance, $8M has now been accumulated by the organization in the Series A funding led by Animoca Brands. Animoca is a well-known name in the segment of traditional as well as blockchain-based games and other allied products. Some other big names that participated in the funding process include the likes of Multicoin Capital, DeFiance, Alameda Research, Valor Capital Group, Spartan Capital, Figment, Tribe Capital, HashKey, Play Ventures, Mechanism Capital, Terra, and DeFi Alliance, among others.
The most popular among these names is definitely Multicoin, the organization that has been investing in the space of blockchain technology space since the year 2017. It has remained an active investor in the companies such as NEAR, Solana blockchain network, MobileCoin, and many other significant projects and contributed significantly to the growth of the segment.
After getting access to funds, Burnt Finance is now planning to launch its own NFT Marketplace, and its ultimate vision is to emerge as an integrated hub for NFTs that will offer a range of functionalities, including lending, mining, gaming, and incentivizing, among others. The particular marketplace aims to offer a high-speed auction process and that too with low processing cost. In fact, the platform has already processed a trading volume of more than $100 million in a span of just seven days. The marketplace is also planning to expand to other blockchain networks which are compatible with the EVM layer one protocol, including the ecosystem of Terra, among others.
As far as global statistics are concerned, the total sales related to the NFTs in the year 2021 reached $22B, which is enormous by any standard of comparison. The market is expected to grow exponentially this year, too, and this explains many companies, including Burnt Finance, are taking a plunge into the segment. Some of the competing names in the category of NFT marketplace include the market leader OpenSea, Rarible, SuperRare, and NiftyGateway. It will be interesting to witness how the prospective creators, users, and investors will patronize this newly formed NFT marketplace and whether the platform will continue to receive the same enthusiastic response that it’s getting now in the future, too, or not.