Sei, DeFi L1 blockchain, is launching a $50 million ecosystem fund.
The latest Sei news posted on their official Twitter account and a number of articles talk about the launch of a $50 million ecosystem fund. This was announced by Sei’s founders, Jeff Feng and Jay Jog.
Sei is an L1 blockchain specifically built for the order book. It is built using the Cosmos SDK and Tendermint Core. Its distinctive feature is its own order-matching engine. It provides scalability to the DEX order book built on Sei. Also, Sei, designed to scale with the needs of decentralized exchanges, has made several Level 1 optimizations to give exchanges an advantage.
While many blockchains have been designed for general purposes and some for specific ones, Sei is DeFi’s first-level blockchain. Sei has mechanisms by which complex products such as options and futures trading, sports betting, and other products where instant order processing is required can be built.
It should be noted that cryptocurrency exchanges generate the highest revenues. But existing Level 1 blockchains are holding them back because their networks are not optimized for DEX. Sei has everything it needs to do this, such as an order matching engine.
According to Jeff Feng, co-founder of Sei, there are currently more than 50 teams in the Sei ecosystem, mostly from blockchains such as Solana, NEAR, Polkadot and the defunct Terra.
These are teams that had already raised venture funding and launched their apps, but felt that their current level 1 ecosystems lacked something that would allow them to really scale and provide a better user experience, so they came to us.
So far, Sei has not spent money on ecosystem grants, Feng noted. But the new fund will focus on developing the ecosystem and encouraging “good founders” to build blockchain applications.
In the long term, Sei hopes to create better infrastructure for exchanges and, by extension, better infrastructure for DeFi.