A group of venture capital companies have announced the launch of a $205m ecosystem fund to support developers building on ‘The Graph’ protocol.
Among partnering industry operators who will use the protocol are Digital Currency Group, Multicoin Capital, Reciprocal Ventures, gumi Cryptos Capital, NGC Ventures and HashKey.
Known as “the indexing and query layer of web3”, developers use The Graph to get the quickest access to accurate blockchain data via open APIs called subgraphs.
According to The Graph, these APIs power certain decentralised applications (dApps) across more than 30 blockchain networks, representing a key piece of infrastructure in the web3 tech stack.
With decentralised applications projected to reach a market size of $368bn by 2027, developers found themselves in need of efficient dApp tooling.
Craig Burel, a partner at Reciprocal Ventures, commented “many of the blockchain applications and protocols that people are interacting with today are powered by centralised platforms and solutions providers”.
“In the near term, it will still remain this way until more decentralised alternatives are available,” he explained.
“To expedite that future, we have come together with some of the biggest players in the crypto industry to provide strategic capital and resources to developers aligned with The Graph’s mission to bring web3 to fruition.”
The Graph currently powers thousands of decentralised applications built on Ethereum, NEAR, Polygon, Avalanche, Fantom, Binance Smart Chain, and more.
HashKey Group, which already contributes to The Graph ecosystem as an indexer and Graph grantee for helping new indexers, will focus on supporting infrastructure-related products within The Graph and will provide resources and guidance to dApps, projects and network participants looking to access institutional markets.
Deng Chao, Managing Director of HashKey Capital said that “whether consumers are on board with web3 or not, web3 is making its way to us”.
“Developers need decentralised web3 solutions, like The Graph, that are designed to be accessible,” he added.
“The Graph accelerates web3 development and allows developers to engage actively.
“We are impressed by the scalability and multinational backgrounds of the team and HashKey is proud of having this partnership with The Graph.”
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