Major crypto-related fundraising markets are hotter than ever, with the rise of layer-one “Ethereum competitors” driving a massive influx of new infrastructure problems that projects are trying to solve.
Solana, of all the Layer 1 projects, has seen perhaps the fastest growth throughout 2021, providing users with fast and cheap transactions as well as a host of lucrative liquidity opportunities and online products. channel that users can access.
Solana has had her fair share of growing pains, however, and some have yet to be resolved.
One such issue is related to uneconomical RPC nodes in the network. The high costs and low returns of operating them have led to a shortage, forcing projects to pay massive premiums to operate Solana RPC Nodes.
RunNode is an infrastructure layer that connects Web 2.0 (the Internet as we know it) to Web 3.0. The biggest differentiator between RunNode and its competitors is the focus on ease of use, security, and cost optimization.
Web 3.0 applications are known as dApps, or decentralized applications. These decentralized applications communicate with the blockchain through the middle layer, known as the RPC (remote procedure call) layer. The RUN token will act as an on-chain authenticator to verify request boundaries and allow developers to access RPC services through a smart contract.
Currently, it takes less than 30 seconds to register for an RPC endpoint through RunNode and enterprise projects are saving an average of 20% on their monthly spend per month after leaving some of the other competitors.
Beyond their RPC service, there are plans to create a robust staking pool with strong user incentives with open liquid staking that connects to current staking pool providers to help Solana achieve a more decentralized blockchain.
The project just closed an impressive $8.1 million fundraising at a $30 million valuation led by investment powerhouse Alameda Research Ventures, underscoring massive demand for better infrastructure projects within the world. Solana’s thriving ecosystem.
In addition to Alameda, the round has garnered support from other notable names, including Serum, ByBit’s Mirana Ventures, Spartan Group, Epsilon Trading, RareStone Capital, and DAOJones (an investment DAO led by Meltem Demirors, among other notable names).
To establish long-term alignments with the Solana ecosystem, RunNode brought in Nate Park, CTO of Alameda Research, and Michael Burgess, Head of Partnerships at FTX as advisors.
Unlike some of its competitors, they chose to focus solely on the Solana network instead of taking a cross-chain approach to the issue. In doing so, they want to become experts at Solana so that they can also help projects optimize their code.
Solana’s team did not hesitate to approach the RPC endpoint bottleneck currently plaguing the network, with project co-founder Anatoly Yakovenko speaking on the subject during a call with the RunNode team:
“What concerns me the most is how easy and fast a developer can click through to good infrastructure for their project. This was a serious issue at our hackathon event.
RunNode’s fundraising success highlights a trend within the industry that revolves around investors favoring infrastructure projects rather than betting on more specialized protocols aimed at adapting to the market in a single industry. products.
Amy Wu, Partner at Lightspeed, talked about this trend in a recent tweetnoting that infrastructure will be one of the next big categories in the decentralized finance sector and the broader crypto market.
“Over the next 2 years, infra/dev ops/security will be a big category after DeFi, Web3 and NFT. Blockchain congestion will continue, developer experiences will transform, as it has in Web2 The barriers to entry are higher than with consumers, both in terms of product and ideology.”
Long-term RunNode plans to turn into a DAO (a Decentralized Autonomous Organization) that revolves around an incentive economy around running RPC nodes where you can earn RUN tokens by providing server power to applications built on Solana.
Post-launch, users will be able to stake their RUN tokens to earn rewards and access a host of other benefits, including whitelisting for NFT mint launches from projects using their RPC infrastructure, participate in governance DAO, access RPC on-chain, and RUN holders can also receive regular airdrops from Solana projects looking to grow their communities.
To follow RunNode on Twitter for more updates regarding the launch of the RUN token and the progress of the project.
Meet the authors
Joseph Young is a cryptocurrency analyst who has been in the space since 2014. He contributes to Forbes, CoinTelegraph, and a host of other top crypto news sites. During his 6+ years in the space, he’s built countless relationships with industry leaders and amassed over 150,000 Twitter followers.
Nick Chong is a passionate crypto researcher specializing in identifying and extracting conclusions from trends within the burgeoning DeFi space. He has been involved in the crypto markets since 2016 and is doing deals for ParaFi Capital, a DeFi-focused hedge fund.
Cole Peterson first discovered Bitcoin in 2013 and started working in the space in 2017. During a gap year as a student at the University of California, Irvine, he is now a managing partner of a capital fund -crypto-active venture and previously worked as a partner. to BlockVenture Coalition.
[Disclosure: Members of the Alpha Alarm team have exposure to some of the projects mentioned in this report. It is not a considerable percentage of any of the team members’ portfolios. None of this newsletter should be construed as financial advice or an endorsement to use or invest in a specific crypto-asset or crypto-asset protocol.]