Wave Financial Launches $100M Cardano DeFi Ecosystem Growth Fund

Key Insights:

• Wave Financial has launched a $100 million fund to back Cardano DeFi development.
• The ‘Wave ADA Yield Fund’ will support the new DEXes, Lending, and Stablecoin issuing protocols.
• Cardano’s DeFi TVL recently crossed $300 million.

Cardano and its DeFi capabilities almost became lore of the past after a few months of the Alonzo hardfork. But now, that lore seems to be turning into reality with more and more projects and supporters emerging to advance the Cardano DeFi ecosystem.

The New $100 Million Fund for Cardano

Wave Financial, a digital asset investment management company, announced the launch of their $100 million ‘Wave ADA Yield Fund’. This fund will be used for backing the development of new Cardano-based Decentralized Finance applications and platforms.

In doing so, Wave will be significantly helping the growth of Cardano’s Dapp ecosystem, which is the true purpose of the blockchain’s creation.

Said to be the first pure liquidity provisioning fund in the crypto space. The CEO of Wave Financial, David Siemer, stated during the announcement that,

“Our new fund will support the new decentralized exchanges, lending protocols, and stablecoin issuers building on Cardano. Each of these decentralized applications adds to the strong foundation of the Cardano blockchain as it realizes a fully functional and diverse ecosystem.”

Wave Financial will have a specific lookout for Decentralized Exchanges (DEX) and Lending protocols. The Wave ADA Yield Fund will be contributing to these dApps by providing liquidity to the pools, which facilitate lending and the exchange of pairs. 

Adding to the same, the founder of Cardano, Charles Hoskinson, said,

“Cardano’s growing ecosystem is hosting an ever expanding universe of applications supporting significant numbers of active users – it’s critical for the success of the ecosystem that Cardano-based projects thrive, and so we are pleased that the ADA Yield Fund is committing substantial financial resources to facilitate continued growth and market acceptance.”

The Growth of Cardano to Date

While Cardano was expected to blow up as soon as smart contracts arrived on it, the same did not happen and what followed were the coldest days in the history of Cardano.

Prices plunged, investors exited, but things have turned around over the last few months, and Cardano is now picking up the pace to become a leading face in the DeFi space.

With over seven dApss launched on the chain, Cardano boasts a TVL (total value lock) of over $263 million currently. The same was at $326 million a few days ago.

The biggest dapp on the chain, Minswap, a Cardano DEX, despite being launched less than a month ago, already accounts for 62% of the entire TVL, beating SundaeSwap, the former holder of that title.

Furthermore, recently FXEmpire reported the launch of Gal Gadot backed Cardano DEX AdaSwap’s own NFT marketplace ADANFT, which claims to be designed to stand apart from the existing NFT marketplaces such as Ethereum’s Opensea and others.

At the same time, ADA’s performance has improved as well. Up by 53.11% in the last eight days, ADA has already recovered the losses faced in the previous two months.