A consortium led by Anthony Pompliano’s Pomp Investments agreed to an investment of 150 bitcoins (about $ 9 million) in the Bitcoin-based DeFi protocol, Sovryn. This was reported to Cointelegraph in Spanish, through a statement.
The consortium includes Cadenza, AscendEX, Gate.io, Blockware Solutions, 0x_b1i, and Consolidated Trading.
Sovryn is a Bitcoin-based decentralized finance (DeFi) protocol. According to the statement, a $ 9 million investment was agreed from a consortium of partners, evaluated for their strategic contribution and led by Anthony Pompliano’s Pomp Investments, after their proposal was formally accepted by the Sovryn Community.
“Today will see the first day of commercialization of the Sovryn token (the SOV), exclusively on the Sovryn platform, before it is available in other exchange houses,” they highlighted.
Of the groups that applied to invest, those that were evaluated and accepted include representatives of exchange houses such as Cadenza (a venture capital fund affiliated with BitMEX), AscendEX (BitMax) and Gate.io as well as blockchain miner Blockware Solutions. .
“These market players will put their reputations and huge balances to the fore to influence the corporate aspects of the Sovryn project and, over time, will seek to create software to promote adoption and integration with the Sovryn protocol,” they stated in the notice.
On the other hand, they indicated that an anonymous DeFi “whale” investor under the pseudonym “0x_b1i” is part of the consortium, as well as institutional market maker Consolidated Trading, who would help serve as a bridge to bring DeFi’s benefits to the world of traditional finance, among others.
Decentralization and security
Pomp Investments sees decentralization and security as important factors in the Bitcoin trading environment and that ultimately these are the factors that grant sovereignty to individual users and holders.
His consortium’s investment outlook is that this trend will continue and the market will continue to prioritize sovereignty and decentralization, rewarding those who can build infrastructure to support and accelerate that spirit.
“The progress that Sovryn has made in developing a solution for decentralized finance for Bitcoin impressed the investment consortium, leading to an unsolicited investment proposal,” they highlighted.
On the other hand, They recalled that Bitcoin is not only the most secure blockchain, but claimed that it is the most scalable, because it is fundamentally focused and extremely simple, designed to do just one thing: “secure Bitcoin transactions.”
Sovryn expands the functionality of Bitcoin. In this sense, they described that it uses the same protocol of the proof of work, it is based on mining and is secured by Bitcoin, and the transactions that occur in the sovereign system are paid with commissions based on Bitcoin to the Bitcoin miners so that this security ends up being extended to its protocol.
The way the Bitcoin world achieves scalability is by adding additional layers of technology to the simple and basic Bitcoin blockchain. This is in contrast to the Ethereum network where continuous modifications are made to its base layer, increasing its complexity and cost.
Anthony Pompliano expressed:
“I have been impressed by the Sovryn project and the progress they have made in bringing DeFi to Bitcoin and ensuring the uninterrupted sovereignty of Bitcoin. We are seeing a growing number of active and decentralized communities, like Sovryn, making decisions under decentralized models about some investments instead of the traditional, centralized decision process. I am delighted that our proposal has been accepted and that I can join the Sovryn community. “
Sovryn Co-Founder Edan Yago commented:
“The Sovryn community takes decentralization very seriously, as it is our only defense against financial censorship. This is not a project that invokes decentralization in a masked actor play, while having a single company behind it. Sovryn is a public good, which is not controlled by any entity and is managed by a growing global community of taxpayers. It’s great that Pompiliano and so many others are joining our mission to bring transparent and incorruptible financial tools to the world. “
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