Nervos Network, the Blockchain startup, plans to launch its “Lina” blockchain this week, on the heels of securing $72 million through a token sale on CoinList.
On November 6, the company announced that developers and miners will be able to participate and utilize its network on November 16, with fresh backing from China Merchants Bank International (CMBI), Polychain Capital, Blockchain Capital, Hashkey, MultiCoin and Distributed Global supporting its efforts.
Likewise, the company initially sought to raise $50 million for the network, exceeding this amount through its three-week sale. Nervos declined to disclose the exact amounts of investment from each major investor.
Kevin Wang, the Co-founder of Nervos Network, said:
“The mainnet will enable users to build applications on our blockchain without facing the tradeoff between scalability and security.” Kevin Wang
Wang also told that the mainnet’s two-layer structure allows users to build decentralized applications on a secure, public layer but actually run the applications on its second layer, promising “unlimited” scalability through this function.
<img src="https://www.cryptonewspoint.com/wp-content/uploads/2019/11/1_zkGn75H4BH73r65kL-jevQ-1024x574.png" alt="" class="wp-image-4858 lazyload" width="464" height="260" />
However, the company’s new CKByte token entitles holders to storage space on the blockchain, acting as an incentive mechanism for miners and acting as a resource management tool.
According to the token’s official public offering statement, the company would use 23.5 percent of the initial token supply to encourage open-source contributions and business partnerships.
Likewise, Wang said that the mainnet could be used as the technical infrastructure for a variety of use cases ranging from decentralized finance platforms to assets tokenization.
He also said that Nervos had developed applications for CMBI, the Chinese banking giant, even before the mainnet launch. There are certainly more opportunities to collaborate with other financial institutions to build DeFi applications after the launch.
The company has established its significant presence in the Chinese developers’ community as some of the core team members are among the earliest Ethereum developers in the country.
<img src="https://i2.wp.com/www.cryptonewspoint.com/wp-content/uploads/2019/11/nervos-moonshot-kevin-wang.jpg?fit=1024%2C1024&ssl=1" alt="" class="wp-image-4861 lazyload" width="338" height="338" />
Kevin Wang
Previously, Nervos secured $28 million in Series A funding last year. The financing round was led by Polychain and private equity giant Sequoia China.
However, Wang previously told that the fundraising was a private sale that guarantees 14 percent of the initial token distribution for the investors in 2019.
Thus, according to him, the company will use the proceeds to invest more in research and development to improve the network and incentivize more miners and developers to use the network.
Source: medium.com | coindesk.com
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