Sovryn, a project that aims to bring decentralized finance (DeFi) to Bitcoin, is in the final stages of approving a 180 BTC investment from Pomp but only under certain circumstances.
Under the terms of the proposal, cryptocurrency evangelist Anthony Pomp Pompliano would invest 180 bitcoin, worth around $10 million at todays prices.
While this might seem like yet another crypto investment story, this one is notable for the efforts Sovryn is taking to ensure that its existing token holders arent marginalized simply because its getting a big investment.
While in most cases decentralized governance goes out the window when well-heeled investors come knocking, Sovyns decentralized governance community is taking things slow to make sure all members will continue to have a say in the projects governance.
Related: IBM Ventures Further Into Crypto Custody With METACO, Deutsche Bank Tie-Ups
As of this writing, a deal had still not been finalized. Jascha Samadi, co-founder and partner at Berlin-based early-stage venture fund Greenfield One, which led a seed round in Sovryn in 2020, said this marks the shape of things to come when it comes to decentralized projects and investing.
The standard way fundraising decisions happen is the teams treasury or the foundations treasury simply raise money by selling tokens to private investors, and it happens in a very closed circle, said Samadi. This is the first time that we actually see a team bringing a proposal like this to their community at such an early stage into their journey.
Community-based governance and decentralized autonomous organizations (DAOs) have evolved like everything else in the crypto space. As well as day-to-day decision making and software updates, decentralized governance structures vote on big choices relating to fundraising and stakeholders being added to the community.
The proposed $10 million investment would be made by Pomplianos new asset management firm, Pomp Investments. Until last September, Pompliano was in charge of investments into crypto at Morgan Creek Digital Assets.
Related: Goldman Files to Offer Notes Linked to an ARK ETF That May Have Bitcoin Exposure
Its worth noting that Sovryn is a buzzy project and earlier this month the community chose to sell $10 million worth of its SOV tokens. There are also conditions such as an extended lock-in period of 16 months for tokens.
While the investment itself is about bringing DeFi to Bitcoin, Pompliano agreed this marks a new chapter in decentralized investing.
You will see more proposal-based investment as the crypto industry deepens, with decentralized communities deciding on investments rather than traditional, centralized and founder-based decision-making, Pompliano said in an interview.
DeFi is the umbrella term for the exchange of cryptocurrencies or the lending and borrowing of them, carried out using business rules set out in computer code, which have typically flourished on the Ethereum public blockchain.
The Bitcoin blockchain, a straight up peer-to-peer payment network, is not the natural home for transactions that lock up funds, include outside data feeds and pay yields on assets. This requires some extra bells and whistles, which Sovryn adds in the form of parallel and uncluttered channels and enjoy the same unbreakable security as Bitcoin.
Sovryn project creator Edan Yago echoed Pomplianos view of this as a new approach to investing.
Many projects that are waving the flag of decentralization, but most of them ultimately have some kind of prime mover behind it, Yago said in an interview. I think one of the really interesting things with Sovryn is how radically and seriously the community takes this idea that there is no central authority behind the project.
- Bitcoin vs. Ethereum: 10 experts told us which asset they'd rather hold, and why - Markets Insider - May 9th, 2021
- Bitcoin (BTC USD) Cryptocurrency Price: Bank of England Warns of Full Losses - Bloomberg - May 9th, 2021
- SEC Chairman Gary Gensler says more investor protections are needed for bitcoin and crypto markets - CNBC - May 9th, 2021
- Forget Bitcoin: Here are The Crypto Assets To Follow - Yahoo Finance - May 9th, 2021
- Should you invest in Bitcoin or Ether? - The National - May 9th, 2021
- Downtown Josh Brown on bitcoin and wealth management - The Block Crypto - May 9th, 2021
- Mark Cuban: The 3 ways Ethereum 'dwarfs' bitcoin - CNBC - May 9th, 2021
- Metromile Will Embrace Bitcoin For Insurance Premium And Claim Payments - Forbes - May 9th, 2021
- FBI: Knoxville man paid hitman in Bitcoin to kill his wife - WATE 6 On Your Side - May 9th, 2021
- S&P Dow Jones brings bitcoin, ethereum to Wall St with cryptocurrency indexes - Reuters - May 9th, 2021
- Bitcoin Association releases 2020 annual report highlighting work and achievements advancing Bitcoin SV - GlobeNewswire - May 9th, 2021
- S&P Dow Jones brings bitcoin, ethereum to Wall St with cryptocurrency indexes - Yahoo Finance - May 4th, 2021
- 3 reasons why Bitcoin is on shaky ground after failing to retake $60K - Cointelegraph - May 4th, 2021
- Bitcoin (BTC) Attempts to Create Higher Low After Rejection - Yahoo Finance - May 4th, 2021
- Bitcoin Association releases 2020 annual report highlighting work and achievements advancing Bitcoin SV - WFMZ Allentown - May 4th, 2021
- Cryptocurrency Clamor: Paying Employees in Bitcoin Has Reached the Mainstream - JD Supra - May 4th, 2021
- More Than 1600 Participate In Mays Innovation Research Center Bitcoin Conference - Texas A&M Today - Texas A&M University Today - May 4th, 2021
- Bitcoin Rebounds After Hitting Lowest Level Since March - Yahoo Finance - May 3rd, 2021
- Bitcoin Crypto Dominance Declines as Ether Soars Past $3,000 - Bloomberg - May 3rd, 2021
- If You Bought $1,000 Worth of Bitcoin a Year Ago, Here's How Much You'd Have Today - The Motley Fool - May 3rd, 2021
- Charlie Munger 'hates' bitcoin's rise: 'disgusting and contrary to interests of civilization' - MarketWatch - May 3rd, 2021
- Will Bitcoin replace gold as the ultimate store of wealth? - ABC News - May 3rd, 2021
- Leak Reveals Millions Of PayPal And Robinhood Bitcoin Buyers May Soon Want To Make A Surprising Switch Amid Bitcoin Price Mania - Forbes - May 3rd, 2021
- Digital currency ether hits a record high, stealing bitcoin's limelight - CNBC - May 3rd, 2021
- Bitcoin Crash vs. Correction: Do You Know the Difference? - CoinDesk - CoinDesk - May 3rd, 2021
- Why Care About Bitcoin? Here's One Philosopher's Take - CoinDesk - May 3rd, 2021
- Bitcoin Is Number One Pick Asset Manager Confident BTC Will Take Him 'to the Top' in Stock Draft Competition Bitcoin News - Bitcoin News - May 3rd, 2021
- Bitcoin Taproot Upgrade Has Started Its Speedy Trial - CoinDesk - May 3rd, 2021
- Feds arrest founder of bitcoin mixer they say laundered $335 million over ten years - The Verge - May 3rd, 2021
- Bitcoin Illuminates Inflation In The Fog - Bitcoin Magazine - May 3rd, 2021
- Tesla Reports Record Earnings, With More Than A Bit Of Help From Bitcoin - NPR - May 3rd, 2021
- UBS Chief Economist Says 'Bitcoin Is Denied to Minority Groups Who Have Reduced Online Access' News Bitcoin News - Bitcoin News - May 3rd, 2021
- Ether Should Outperform Bitcoin Over the Long Run, Says JPMorgan - Yahoo Finance - May 3rd, 2021
- 19 Stocks With Exposure to Bitcoin - Barron's - May 3rd, 2021
- Mila Kunis warned Ashton Kutcher against investing in Uber and Bitcoin - Insider - May 3rd, 2021
- Over $200 billion wiped off cryptocurrency market in a day as bitcoin plunges below $50,000 - CNBC - April 23rd, 2021
- Bitcoin drops below $50,000, dented in part by rising U.S. tax worries - MarketWatch - April 23rd, 2021
- Behind Bitcoins Recent Slide: Imploding Bets and Forced Liquidations - The Wall Street Journal - April 23rd, 2021
- Bitcoin bears are stalking crypto prices --- here's how low they could go - MarketWatch - April 23rd, 2021
- Bitcoin is at its lowest level in nearly a month. 2 experts explain why they see more weakness ahead. - Markets Insider - April 23rd, 2021
- First Mideast Bitcoin ETF Aims to Raise More Than $200 Million - Bloomberg - April 23rd, 2021
- Why Bitcoin Is Making Its Way onto the Balance Sheet - ETF Trends - April 23rd, 2021
- Women Step Up Trading in Bitcoin, Other Cryptocurrencies - The Wall Street Journal - April 23rd, 2021
- Here's where you can shop with Bitcoin and other crypto - Yahoo Money - April 23rd, 2021
- Why is ethereum on a tear of late, outperforming bitcoin? - Mint - April 23rd, 2021
- Bitcoin Association appoints new ambassadors for Japan and the South Pacific to advance Bitcoin SV - PRNewswire - April 23rd, 2021
- Dogecoin Falls Below 20 Cents, Bitcoin Below $50K Amid Wide Sell-Off, But These Two Cryptos Are On A Run Today - Benzinga - April 23rd, 2021
- UK to explore issuing its own digital currency amid bitcoin boom - CNBC - April 23rd, 2021
- Bill Gates betting on total collapse of Bitcoin as cryptocurrency slumps: Analysts - Republic TV - April 23rd, 2021
- JPMorgan warns of bitcoin weakness as futures get liquidated - Economic Times - April 23rd, 2021
- Bitcoin rally this year is the start of going mainstream, not a bubble, says investor Bill Miller - CNBC - April 21st, 2021
- After a wild weekend, bitcoin could take a breather before the next move higher - CNBC - April 21st, 2021
- Bitcoin's sell-off by the numbers: Oppenheimer puts the latest drop into perspective - CNBC - April 21st, 2021
- During Bitcoins Latest Price Crash, Tether Premium Shows Where Money Went - Yahoo Finance - April 21st, 2021
- Bitcoins nosedive: What happened and whats ahead? - Fox Business - April 21st, 2021
- Mark Cuban says bitcoin is far from its market top: 'The opportunity for it to go much higher certainly exists' - CNBC - April 21st, 2021
- Visualizing the Power Consumption of Bitcoin Mining - Visualcapitalist - Visual Capitalist - April 21st, 2021
- Fund managers think bitcoin is in a bubble, but not equities - Mint - April 21st, 2021
- We're closer to a bitcoin ETF, 'but were not all the way there yet,' market analyst says - CNBC - April 21st, 2021
- Do You Need a Crypto Wallet to Store Your Bitcoin? - Motley Fool - April 21st, 2021
- Bitcoin Plunges, Taking Other Cryptocurrencies With It - Yahoo Finance - April 21st, 2021
- Avoid Overvalued Coinbase: Buy These 10 Best Crypto, Bitcoin Stocks Instead - Yahoo Finance - April 21st, 2021
- Bitcoin ETF From 3iQ and CoinShares, Canadas 4th, Begins Trading on TSX - Yahoo Finance - April 21st, 2021
- Federal Reserve Bank President Says Bitcoin Is Clearly a Store of Value Regulation Bitcoin News - Bitcoin News - April 21st, 2021
- FinanceFactbox: Bitcoin's march to the mainstream gathers pace - Reuters - April 21st, 2021
- GameStop and Bitcoin Renewed a Push to Digitize the Stock Market - The Wall Street Journal - April 9th, 2021
- Bitcoin exchange Kraken considers going public after record trading volumes in the first quarter - CNBC - April 9th, 2021
- At $60,000, Is Bitcoin Too Expensive? - Motley Fool - April 9th, 2021
- 'We've reached a tipping point' on bitcoin adoption, Fidelity's Tom Jessop says - MarketWatch - April 9th, 2021
- This Financial Advisor Thinks Bitcoin Could Be Headed for Mass Adoption - Motley Fool - April 9th, 2021
- Is there a future for bitcoin? An investor and a skeptic debate - The Verge - April 9th, 2021
- Fidelity Says Bitcoin Adoption Will Keep Accelerating 'We've Reached a Tipping Point' Featured Bitcoin News - Bitcoin News - April 9th, 2021
- The IRS wants to know all about your Bitcoin holdings --- and this court summons is a reminder - MarketWatch - April 9th, 2021
- Gold, Stocks, and Bitcoin: Weekly Overview April 8 - Yahoo Finance - April 9th, 2021
- BIGtoken to Host Webinar on Thursday, April 15, 2021 to Discuss Bitcoin 2021 and Beyond - Business Wire - April 9th, 2021
- Kevin OLeary says he will only buy bitcoin mined with clean energy, and none mined in China - CNBC - April 9th, 2021
- Ripple Granted Access to SEC Documents on Bitcoin, Ether in Ongoing XRP Fight - Yahoo Finance - April 9th, 2021
- Why the Market is Thinking About Bitcoin Differently - Visual Capitalist - April 9th, 2021
- Texas A&M Mays Innovation Research Center To Host Bitcoin Conference April 16-17 - Texas A&M University Today - April 9th, 2021
- Economist Says Bitcoin Isn't Too Big to Fail Warns BTC Can Only Establish Itself if Governments Allow It Regulation - Bitcoin News - April 9th, 2021