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Blockstream Gains $55 Million Funding to Aid in Sidechains for Bitcoin’s Blockchain

Last Updated March 4, 2021 4:46 PM
Samburaj Das
Last Updated March 4, 2021 4:46 PM

In an announcement today, Blockstream has announced that it has successfully raised $55 million in Series A funding, bringing the total capital raised in its funding run to $76 million. The influx of finances will help the company further develop its innovative sidechain technology.

Blockchain-based Blockstream has announced significant new investment into its Series A funding today. Adding to a previous $21 million seed round, the total investment now stands at $76 million over the two rounds.

According to a press release , the latest round was led by Hong Kong-based Horizons Ventures; AXA Strategic Ventures, the venture capital arm of Europe-based AXA Group; and Japanese firm Digital Garage.

The investment is help bring solutions via the most robust and secure distributed ledger there is – the Bitcoin blockchain, “extended via interoperable sidechains,” the release adds.

Blockstream’s sidechains are seen as the key to bring cross-chain functionality between the Bitcoin blockchain and other public and private blockchains.

Blockstream, — a startup comprising of Bitcoin core developers — previously made headlines when it announced its first Bitcoin sidechain – Liquid. The sidechain is seen as a solution to bring instantaneous and secure transactions to payment processors and brokerages. Liquid will also aid major traders around the world and licensed exchanges.

Bitcoin sidechains

Liquid was deemed as “an interoperable sidechain that extends the Bitcoin blockchain while adding an auditable, cryptographically-strong commercial privacy component.”

Fundamentally, Liquid will provide a two-way peg as an interchange settlement service for Bitcoin exchanges and brokerages. The sidechain is geared for release this year.

Blockstream also announced a ‘strategic partnership’ with services firm PwC, an endeavor with the aim to “bring blockchain technology and services to companies around the world.”

Private distributed ledgers as spin-offs from the blockchain have seen endorsements and investment from governments, economists, financial firms, banks, stock exchanges and more in recent times. While private endeavors plough on, the advent interoperable blockchains linked together via sidechains and the funding round is bound to bring the focus back on to the proven stability, security and functionality of bitcoin’s blockchain.

Images from Shutterstock and Blockstream.