NBA Top Shot’s host blockchain Flow announced a new $725 million Ecosystem Fund backed by its parent company’s investment arm, Dapper Ventures, and crypto-focused VCs, including a16z, Coatue, and Digital Currency Group.
Dedicated to boosting developments in its ecosystem, the fund will offer investments, in-kind support, and FLOW token grants to eligible developers building applications on its blockchain.
Flow, a leading network best known for its NFT projects, was created by Dapper Labs in 2018. The blockchain giant considers the fund as intended to spark innovation and develop new projects built on its platform.
Flow’s release indicates that the Ecosystem Fund will be used to support “gaming, infrastructure, decentralized finance, content and creators” in its ecosystem. In particular, the fund aims to bring web3 opportunities to developers worldwide.
For instance, Flow will offer office spaces to its developers in Berlin and other Asian cities. The fund mainly will go to the following four areas: product development, product scaling, team expansion, user acquisition, and general operating expenses.
Dapper Labs’ CEO Roham Gharegozlou outlined that interest derived from well-known crypto institutions is a confidence vote on the NFT-focused blockchain. He added that the Fund will become a real game-changer for the ecosystem’s “7,500+ strong and fast-growing developer community.”
As reported by Forbes, Flow’s new venture – unlike Binance’s $1 billion fund for its Smart Chain ecosystem, which had only one team responsible for distribution – will accommodate investors’ allocation decisions to distribute the funds.
Flow’s Growth Story Continues
Flow joined Ethereum, Solana, and polygon on Monday as the four blockchains supporting Meta’s latest bid to introduce NFTs on Instagram. It will serve as the host blockchain for renowned sports collectibles like NBA Top Shot and NFL ALL DAY.
Despite ongoing crypto dumps, activity on Flow has continued to thrive, Forbes stated. The number of daily transactions has tripled to over 700,000 since September 2021. Also, the number of active accounts has soared to a new ATH of more than 500,000 this week.