Liquid staking protocol pSTAKE just broke a record and everyone in the DeFi sector of crypto should be talking about it. Not only did the project raise $10 million on CoinList, it broke a record for the fundraising platform. More than 949,000 people registered for the token sale, easily the most ever in comparison to any other token sale that’s happened on the platform in the past. The sale ended in just 45 minutes. Another impressive feat.
Add that to the fact that some of the biggest names in venture capital are backing pSTAKE with an additional $10 million fundraising round last year, and the project now sits at an estimated $200 million valuation.
Some of the heaviest hitters in the world of crypto capital investing are backing pSTAKE including Three Arrows Capital, Galaxy Digital, Sequoia Capital India, DeFiance Capital, Coinbase Ventures, Tendermint Ventures, Kraken Ventures, Alameda Research, and Sino Global Capital.
Individual angel investors from well-known projects like Terra, Aave and Alpha Finance also backed the project.
pSTAKE Empowers Users to Get the Most Out of Their Staked Assets.
pSTAKE empowers users with the capability to earn staking rewards and DeFi yields using the same assets. Its capabilities have people drawing comparisons between pSTAKE and the ETH 2.0 staking project known as Lido. That project has over 1.4 million ETH locked into it. pSTAKE wants to do the same thing for a range of PoS assets, currently supporting Cosmos’ ATOM and Persistence’s XPRT with Solana, Ethereum 2.0 and other Cosmos-based chains in the works.
Liquid staking has the potential to be a big part of the future of DeFi because it allows users to get extra utility from their assets. Users simply receive tokens equivalent to the same value of what they are staking, and they can take those equivalent tokens and invest them somewhere else. That essentially means you’re investing twice as much capital without having to borrow on the margin the way most lending and borrowing projects would have a user do.
That equates to a lot more flexibility without nearly as much risk.
The best part is the team at Persistence (developers of pSTAKE) possesses extensive experience operating within the Cosmos ecosystem, which includes working on Cosmos Hub as well as operating validator nodes on Tendermint based systems.
Another Reason the Future Is Bright for pSTAKE
Now that we’re in 2022, perhaps one of the biggest opportunities in crypto lies in the hands of projects looking to master blockchain interoperability and bridging between different blockchains. pSTAKE lives on the Ethereum blockchain (with Cosmos-based and Solana implementations in the works) and supports Cosmos’ $ATOM token and Persistence’s $XPRT tokens by minting the staked representatives right on the Ethereum chain.
Together, Ethereum and the two aforementioned tokens account for a collective $453 billion market cap.
In other words, pSTAKE is set to make an impact on a huge chunk of the crypto market. Thus, the potential for the exponential growth of the project is definitely there. Users from Solana, Ethereum 2.0 and other Cosmos-based chains will also be able to leverage pSTAKE in order to stake their assets.
Cosmos and Solana are already proving that they are a scalable and cost-effective solution, which strengthens pSTAKE’s potential even more in the minds of retail users. Two of the most popular altcoin blockchains in the crypto world are going to grow pSTAKE’s relevance over time.
What’s Next for $PSTAKE Token Holders?
Overall, the long-term outlook for the project looks bullish. pSTAKE carries with it 5,500 active users and the platform is quickly growing. Ethereum, Solana and Cosmos have already established their place in the DeFi world and will remain fan favourites among developers for the long term, which means these ecosystems will continue to grow.
Big things are undoubtedly in the works for pSTAKE. In addition to Solana and Ethereum 2.0, it’s going to support more Tendermint-based blockchains with their liquid staking aspirations in the future, including Terra.