On August 15, Pantera Capital-backed the layer-1 network Injective Labs announced that it has raised $40 million to be used to create blockchain optimized for web3 financial applications. Jump Crypto and BH Digital, the crypto arm of hedge fund manager Alan Howard led the funding round. 

The funding will also be used to further increase utility for the native INJ token, which powers Injective, while also creating new liquidity avenues for dApps (decentralized applications)  built on Injective. 

“We are excited to collaborate with our partners, including Jump Crypto, which we expect will be a major boon for the broader Injective ecosystem,” said Eric Chen, co-founder, and CEO of Injective Labs. 

With this new capital, Injective will spur further development aimed at creating the industry-leading blockchain optimized for financial applications. Injective will continue likewise keep on invest in its rapidly growing ecosystem to solidify its position as the premier destination for Web3 DeFi developers. 

Jump Crypto has also engaged in similar deals before with blockchains such as Solana and Oasis, it said in a statement. 

The new capital will support developers who center around diversifying the Injective ecosystem, the organization said in a statement. 

New applications, like prediction markets, lending protocols, and savings Dapps, can all build on Injective while using its core modules to multiply the Injective ecosystem. 

Injective is growing continuously by reaching over 92 million on-chain transactions, while dApps built on Injective have already generated over $7 billion in cumulative volume. With the launch of the CosmWasm smart contracts layer last month, it has become one of the fastest-growing ecosystems in the industry today. 

“Businesses and financial institutions have already begun to participate in DeFi in a big way and the natural next step will be building personalized decentralized applications. Injective offers these institutions an out-of-the-box solution that can be leveraged to build any finance app,” said Kanav Kariya, President of Jump Crypto.