The Tezos Foundation is doing its bid to encourage crypto and blockchain developers, as a new report shows that the firm has made significant commitments to help improve its ecosystem.
Earlier this week, the firm released its second Biannual Report, which detailed some of the progress that the firm was able to make in the final two financial quarters of 2019. As the report confirmed, the Tezos Foundation now has a war chest totaling $635 million – a rather substantial figure for a company that made less than $250 million in its Initial Coin Offering.
Prioritizing Internal Growth
Roman Schnider, the company’s Chief Financial Officer (CFO), explained that the firm has been able to raise such a sizable amount because of “positive market dynamics.” Expatiating, he revealed that the Bitcoin and Tezos blockchains had seen significant increases in their blockchain assets over the past 36 months, and that has worked out reasonably well for the firm’s bottom line.
The report also shed some light on how the Foundation has been able to use its funds, and it showed that it had provided $37.6 million in funding to its blockchain ecosystem since Q3 2019 began.
The report showed the divisions of the grant – ecosystem projects, research and development, and community support. All grant beneficiaries will need to go through a comprehensive application process, which involves proposal evaluations by several communities and due diligence reviews.
The Foundation already accepted 78 grants out of over 200 applications. While it didn’t reveal the details of the beneficiaries, the report explained that all payments would be made after specific milestones have been completed. For now, most of the grant’s research efforts have been geared towards developing Tezos’ smart contract languages, as well as optimizing aspects of the core software like privacy, staking, and general performance.
Other aspects where grants were also focused include the development of ecosystem applications and tools, as well as Tezsure – an insurance platform based on the Tezos blockchain – and camICase, a FinTech company looking to incorporate DeFi to Tezos’ ecosystem.
The global Tezos community also received about $13 million for their work of spreading awareness and increasing the Foundation’s reach.
The Need for Development and Scalability
The development has so far been one of the focus areas of crypto firms, especially since the industry continues to grow and hopes to replace the traditional way of doing things. As blockchain and crypto companies see a surge in their user bases and applications, it has become necessary to ensure that they’re able to scale effectively and keep hold of these new users.
Tezos is definitely not the only firm investing significantly in development. Earlier this week, crypto exchange Binance and its India-based subsidiary WazirX announced that they had launched the “Blockchain for India” initiative – a fund that will help drive blockchain development in the country.
As the press release to that effect explained, both companies will provide sufficient funding and mentorship opportunities to successful applicants, while also granting them access to Binance’s full suite of products and services.