Secret Network Announces $400M Ecosystem Funding, Reveals Big-Name Investors
The privacy-focused blockchain will launch a $175 million accelerator pool and $225 million ecosystem fund
Blockworks Exclusive Art by axel rangel
key takeaways
- Secret Network is best known for building a non-fungible token protocol, which advertises itself as the first “NFT with programmable privacy”
- Investment firms that have taken a large SCRT token position include CoinFund, Alameda Research, HashKey and DeFiance Capital
Secret Network will soon deploy $400 million into its network’s ecosystem from big-name investors such as CoinFund, Alameda Research and DeFiance Capital, the protocol’s developer told Blockworks on Wednesday.
The privacy-focused blockchain will launch a $175 million accelerator pool and $225 million ecosystem fund, according to marketing materials. The $225 million raise will come from 25 different investors and the other $175 million will be deployed directly from SCRT Labs.
The accelerator pool will be a source of non-dilutive early stage funding for various projects trying to build on Secret Network, according to a blog post from the startup. Early backers included KuCoin, Terra, DragonFly Capital, Blocktower and Huobi Capital.
Secret Network is best known for building a non-fungible token protocol, which advertises itself as the first “NFT with programmable privacy,” according to its website. Both the NFT holder and creator can lease, own, and sell the [digital] art privately.
“[Unlike] normal NFTs, we can provide [user] access control,” Guy Zyskind, the founder and CEO of Secret Network, previously told Blockworks. “Essentially, if I’m an artist, and I’m publishing an art piece, I don’t have to reveal it to the entire world, I can publish it selectively.”
Secret Network previously made headlines for its partnership with award-winning director Quentin Tarantino last year, collaborating on a line of “Pulp Fiction” NFTs. Tarantino’s collection plans led to a lawsuit from Miramax, the movie studio that produced the 1994 film.
Miramax accused Tarantino of committing copyright infringement, trademark infringement, breach of contract and unfair competition, according to court documents. Secret Network said in a statement to Blockworks that it has not been threatened with any legal action and still intends to work with Tarantino on his NFT efforts.
Zyskind said the $400 million will flow into the network’s ecosystem to help propel its growth. “With a strong network of supporters and a passionate global community, Secret Network is now entering its most aggressive growth phase to date,” he wrote in a statement.
The network’s native token, SCRT, is currently trading 4.2% lower at $9.22 after the news, according to data provider CoinGecko.
Don’t miss the next big story – join our free daily newsletter.
Follow Sam Bankman-Fried’s trial with the latest news from the courtroom.
