MetaStreet Raises $14 Million in Seed & Initial Liquidity Capital to Help NFT Debt Scale
BOSTON, February 8, 2022 /PRNewswire/ — MetaStreeta liquidity routing and scaling solution for NFT collateralization platforms, announced today that it has obtained $3 million in seed funding and $11 million in the liquidity of the initial protocol to revive the expansion of the rapidly developing secured NFT loan market.
MetaStreet is the largest provider of DAI capital on NFTfi.com, which accounts for a significant majority of collateralized NFT volume. Despite skyrocketing NFT transaction volumes at ~$17 billion in 2021, NFT-backed loans accounted for only ~$50 million in comparison, a penetration rate of less than 1%. MetaStreet provides the basic infrastructure necessary for capital to flow freely in this new market by setting up and automating the process of underwriting and executing fixed rate loans secured by NFT. In November 2021provided by MetaStreet $1.4 million DAI as collateral against a class 10 autoglyph – the first $1 million loan in NFT debt history.
“By introducing a decentralized financial infrastructure into this new digital economy, MetaStreet enables true proto-nations to survive and thrive, and increases the GDP of the Metaverse,” said david choi, co-founder and CEO of MetaStreet. “Our vision of solving Metaverse liquidity through democratization processes is the first step in shaping this evolution.”
“Although new today, the metaverse will continue to evolve at a faster rate than any technological innovation we have seen to date, benefiting from the development of the hive mind and the network effects that occur. produce using open source and interoperable technologies,” said Conor Moore, co-founder and COO of MetaStreet. “We remain excited about the opportunities to innovate and meet the growing demand for liquidity solutions in the metaverse.”
“We expect continued growth in NFT transaction volume in 2022, particularly in the hypergrowth sectors of the metaverse and gaming,” said Thomas Schmidt, Partner at Dragonfly. “We want to support builders of tools that will enable the NFT-backed debt market to reach normalized penetration rates and grow alongside the broader expansion of the NFT market.”
MetaStreet plans to use the seed funding to support its expansion plan, while the protocol’s initial liquidity is used to launch the secured lending business during a period of market education. This funding round was led by dragonfly capitalwith the participation of a number of strategic investors, including Ethereal businesses, Sfermion, budding capital, Delphi INFINFT, Alliance, Seed club companies, Animoca brands, Republic Kingdom, Capital of the Volt, Kerve Capital, Digital CMT, Binary Scale Capital, QCP Capital, BigBrainHoldings and Taurus.
Founded in 2021 by david choi, Ivan Sergeyev and Conor Moore, MetaStreet is a liquidity routing and scaling protocol for NFT collateralization platforms. The protocol aims to dramatically improve capital efficiency in the NFT-backed lending ecosystem through automated underwriting processes and mitigation cascades, enabling market participants to access the asset class and to govern it with an optimized risk/return profile compatible with their personal perception of risk. For more information, visit https://www.metastreet.xyz/.
SOURCE MetaStreet Laboratories