Aave’s Parent Firm Avara Seeks $50M for Lens Protocol, Token Plunges 8%

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As a researcher with experience in the blockchain and cryptocurrency industry, I find Stani Kulechov’s current funding discussions with US venture capital firms for Lens Protocol an intriguing development. The potential valuation of over $500 million is significant, especially considering that Farcaster, Lens Protocol’s biggest competitor, recently secured a funding round at a billion-dollar valuation.

Stani Kulechov, the head of Avara and its founder, is now holding talks with American investment firms with a view to raising an extra $50 million through them for Lens Protocol.

Based on information from informed sources, the funding would reportedly value our protocol at over $500 million. However, the CEO of Avara neither confirmed nor denied these figures during my recent conversation with them. It’s an opportune moment for us at Lens Protocol as we work diligently to secure a significant presence in the competitive Web3 social media marketplace.

In a recent interview with DL News, Kulechov made it clear that the main goal isn’t about launching a new token, but rather getting ready for the rollout of Lens Network. This project, which utilizes ZKSync, is what we’ve been working on.

It’s intriguing that ZKSync will serve as the solid foundation for the forthcoming advancements of Lens Protocol. Meanwhile, Avara, which is in charge of Lens Protocol, manages other initiatives such as the stablecoin GHO, crypto wallet Family, and lending protocol Aave.

As a researcher, I’ve come across some intriguing funding developments in the world of decentralized data marketplaces recently. In late 2023, Avara’s Lens Protocol managed to rake in an impressive $15 million during their fundraising round. Yet, they kept their valuation a secret from the public.

Farcaster and Lens Protocol aim to give users control over their digital content, enhancing their power. Their primary objectives are enhancing privacy, security, and generating new revenue streams from social media interactions. According to Dune Analytics, about 70% of users on these platforms have under 50 followers, suggesting significant untapped potential for engagement and expansion.

AAVE Token Plunges

In the last 24 hours, AAVE‘s native cryptocurrency has seen a decrease of 8%, contrary to the fundraising initiatives recently announced by Aave’s CEO.

The trading volume for AAVE‘s altcoin grew by approximately 61.4%, reaching $132 million. Its market capitalization now stands at a significant $1.18 billion. However, it’s worth mentioning that there has been a 9.91% decrease in AAVE’s value over the past week, and a further decline of around 10% over the last month. Since June 2023, the cryptocurrency has seen a substantial increase in value by approximately 55.5%, and it currently ranks 63rd based on market capitalization.

As a data analyst, I’ve examined DefiLlama’s latest figures and found that the current total value locked (TVL) within the Aave protocol amounts to $12 billion. Notably, the highest TVL ever recorded for Aave was observed back in October 2021, which reached an impressive figure of $19.13 billion.

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2024-06-18 11:48