Galaxy Digital backs $50M funding spherical for crypto staking outfit Figment

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Mike Novogratz’s funding administration agency Galaxy Digital has reportedly participated in a $50 million funding spherical for Figment, a crypto staking startup.

Based on Bloomberg on Monday, Galaxy Digital joined buyers like Anchorage and Bonfire Ventures in a Sequence B funding spherical led by Senator Funding Group and Liberty Metropolis Ventures.

The corporate is now reportedly price about $500 million following the recent injection of funding capital.

Commenting on the funding spherical, Lorien Gabel, CEO of Figment, mentioned that the funding marks a “new chapter” for the agency.

The announcement additionally included a quote from Novogratz describing the yield producing potential of proof-of-stake (PoS) as an “vital catalyst” in incentivizing higher institutional curiosity in digital belongings.

PoS is an alternate consensus protocol to proof-of-work that replaces the computational necessities for transaction validation within the latter with a system based mostly on the validator’s stake within the community.

Certainly, Figment reportedly stakes greater than $7 billion price of digital belongings for over 100 institutional purchasers and is trying to upscale its workforce to additional broaden its enterprise operations.

Associated: JPMorgan report: Eth2 might kick-start $40B staking business by 2025

Novogratz’s feedback about PoS driving institutional adoption of digital belongings are already enjoying out within the crypto house. Firms like European telecom big Deutsche Telekom are concerned within the cryptocurrency staking enviornment.

As beforehand reported by Cointelegraph, Deutsche Telekom lately tapped Coinbase Custody because the most well-liked custodian of its staked Celo (CELO) tokens. Certainly, the corporate can also be a validator on the Celo community by way of its T-Programs MMS subsidiary.

Again in July, Swiss-licensed digital asset financial institution Sygnum turned the primary financial institution to supply Ethereum 2.0 staking providers to institutional purchasers. Certainly, Ethereum’s transition to PoS has been tipped to have profound implications for the rising “Staking as a Service” market.