Benzinga - Abu Dhabi-based Venom Ventures Fund announced a $5 million strategic investment in Layer 1 blockchain Everscale.
This investment will be made in stages and will be based on the progress and cooperation between the two companies, The Block reported.
The investment will also be one of the first publicly announced investments made by Venom Ventures Fund, which recently raised $1 billion for investment in Web3 applications with the aim of fostering the development of the Web3 market in the United Arab Emirates (UAE).
According to Venom Ventures Fund Chairman Peter Knez, the investment firm plans to cover every stage of investment, from seed to IPO.
“Restricting yourself by stage rather than by the quality of opportunity, if you have the capital, doesn’t really make sense — if you can do the homework,” he said.
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Everscale is a blockchain that operates using an "infinite sharding mechanism," which effectively divides the blockchain among network users.
This mechanism enables the blockchain to adapt to workloads and has allowed Everscale to expand its reach in Asia over the past two years.
The new funds from Venom Ventures Fund will be utilized to further expand Everscale's development team and projects, the company stated.
Venom Ventures Fund was launched in partnership between the Abu Dhabi-regulated Layer 1 blockchain, Venom Foundation and Iceberg Capital, an investment firm.
This strategic investment will facilitate the collaboration between the Everscale and Venom networks, allowing them to work together toward a common goal.
“For us, this is a strategic investment aimed at the technological development of projects and teams around technologies that we focus on and actively develop. In particular, we are talking about the Venom blockchain project and its ecosystem, which is planned to be launched soon and for which Everscale is a potential Layer 2 solution,” Knez said.
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