In a bid to support the building of a decentralized bridge between Bitcoin and Ethereum, the project has recently received several millions of dollars. Reportedly, the Keep Network is said to have closed a $7.7million funding round led by Paradigm Capital, an independent investment dealer led by Coinbase co-founder Fred Ehrsam.
Included in the private token sale are the Chinese venture capital fund Fenbushi Capital and tech VC firm collaborative fund amongst others.
The Keep Network permits for its users to store their coins in a secure Bitcoin wallet and then reconvert them into tokens using Ethereum platform. This allows for Bitcoin users to leverage on the numerous advantages provided by the Ethereum platform, for example, users can take advantage of the new token referred to as tBTC collateral to secure loans or trading margins. In order to reclaim their Bitcoin, the users would then batter their tBTC in exchange for BTC using the Keep Network.
Founder of the Keep Network, Matt Luongo says that tBTC provides the best of Ethereum and Bitcoin. The rigor of Bitcoin as a means of exchange remains while exploiting Ethereum’s supercomputing features.
” The goal is to give Bitcoin the superpowers that smart contracts have on Ethereum, and also to bring Bitcoin as collateral to decentralized finance”
The company is said to release a launch date but affirms that tBTC will be released in the coming weeks.