DAO-to-DAO credit provider and cross-chain GameFi NFT lending marketplace receives $3 million in investment
Kyoko.finance (Kyoko), a DAO-to-DAO credit provider and cross-chain GameFi NFT lending market secured $3 million in private funding led by Animoca Brands, with additional investors including Infinity Ventures Crypto (IVC), YGG SEA, Morningstar Ventures, AXIA8, Red Building Capital, NGC Ventures, Momentum 6, BlockchainSpace and blockchain space.
The DAO-to-DAO credit lending infrastructure offers unsecured and collateralized lending and liquidity to the web3 market. Through P2P NFT lending and cross-chain asset lending platforms, the company solves concerns confronting GameFi, such as escalating entry costs and in-game assets across several blockchains.
The funding will help the platform maintain its position as a market leader. Kyoko will seek out strategic alliances with DAOs, guilds, and games and expand its development and marketing teams to expand its industry reach fast.
Yat Siu, the executive chairman and co-founder of Animoca Brands, commented:
As one of the world’s largest investors in NFT-related companies and decentralized projects, Animoca Brands is keenly aware of the value that blockchain-based credit is able to offer to the open metaverse ecosystem, and we recognize the strong potential of Kyoko’s liquidity solutions.
Users may produce liquidity from their idle NFT resources using the P2P NFT lending protocol. Borrowers may use NFTs as collateral to get a cryptocurrency loan on the site, promoting this. Lenders establish the loan’s exact terms, such as the loan amount, interest rate, and length, among other things. Lenders are compelled to establish competitive market prices, or borrowers refuse to accept the listing.
In both GameFi and the larger crypto sphere, DAOs play a critical role. DAOs are at the centre of vast groups of players and investors that pool resources and in-game assets via guilds in the GameFi sector. Guilds may amass a sizable stockpile of in-game NFTs, which have skyrocketed in value. Even though the business has grown, there is still a lack of interoperability when it comes to moving NFTs and their values across gamGuilds’lds’ costs and liquidity requirements for expanding into new games across multiple game chains are considerably increased due to this.
DAOs that manage well-established guilds and smaller guilds with exponential development potential may apply to Kyoko for a credit line to borrow bitcoins or in-game assets. For example, applicants that pKyoko’sko’s credit risk assessment will be accepted for unsecured credit loans with the possibility of expanding their credit limits via collateralized loans. While the DAO-to-DAO financing platform has its origins in GameFi, it is not confined to guilds. DAOs in various sectors that want extra liquidity may apply for credit loans on the DAO-to-DAO lending platform.
The Rise and Rise of DAOs
DAO (decentralized autonomous organization) is a structure used by many crypto projects. Typically DAOs require key actions such as treasury assets or changes to the project code to be proposed and approved by token holders.
The structure of a DAO is inherently open and accountable, a forcing function to share value with the participants who create it. Otherwise, other DAOs will out-compete them, or their participants will leave for other opportunities.
DAOs as open economies will power the X-to-earn trend, making work more flexible, fluid, and playful than the 9-5s we are accustomed to. The openness of these crypto economies will allow people to participate in several DAOs and crypto-networks, mixing and matching different income streams and ownership returPeople’sle’s income will be a mix of things we already currently do in our lives (e.g., play games), things we think of as traditional work (e.g., bounties/contracts), and things that are currently accessible to only a small percentage of the population (e.g., investing, passive income). To think of it another way, DAOs will expand the type and quantity of opportunities open to various kinds of participants, including token holders, bounty hunters, and core contributors.
Share the story don’t forget to like the story!