Parrot Protocol Receives $5 Million in Seed Funding

The up and coming DeFi lending platform has successfully raised $5 million in preparation for expansion.

By
John Tunney
on
June 14, 2021
Category:
Breaking News

Repeat After Me

On June 11th, Parrot Protocol announced on Medium that they have successfully raised $5 million dollars in seed funding. Parrot Protocol is a liquidity network built on Solana that will include the stablecoin PAI, a non-custodial lending market, and a margin trading vAMM. 

Source

The news is massive for the start up platform as well as the Solana network, as now with the Parrot Protocol setting up, investors will look to have a powerful lending protocol that provides more accessible value lock in DeFi.

The Parrot project has huge backing from some of the most acclaimed DeFi projects in the crypto industry. Alameda Research, QTUM, and NGC Ventures are some of the biggest and most reputable firms in all of DeFi. The investment platforms are incredibly excited about the potential for Parrot Protocol and its use case. 

Alameda Research said that, “Stablecoins are a fundamental primitive for the Solana DeFi ecosystem, and by specializing in taking LP tokens as collaterals, the Parrot Protocol fills a unique niche in the stablecoin market. Furthermore, the Parrot Protocol will be building a lending product on top of its own PAI stablecoin, which creates a strong network effect for both products. Alameda Research is excited to see how the Parrot team will be able to continue to execute quickly, and innovate in product design.”

What is Parrot Protocol?

Parrot Protocol is a DeFi network built on the Solana blockchain that will integrate the stablecoin PAI, a non-custodial lending market, and a margin trading vAMM. All of these features are designed to solve issues surrounding access to locked value. Parrot Protocol looks to make value locked in LP tokens accessible for investors by building a liquidity & lending platform which is then collateralized by those LP tokens.


Project Roadmap 

  • 2021 Q2: Stablecoin with LP collaterals.
  • 2021 Q3: Crypto lending with LP collaterals.
  • 2021 Q4 -2022-Q1: Margin trading with vAMM, using PAI.

Concluding Thoughts

The recent news from Parrot Protocol is a huge step for the platform. A protocol having access to more money is hugely beneficial to how a project grows, as it may influence the developers the protocol can hire and can affect the potential and goals that can be realistically met by a project. Not only that, but the backing from tremendously powerful DeFi protocols like Alameda Research and QTUM may also signify the way they see the project having a profound impact in the Solana network. As Solana grows, so does their ecosystem. Parrot Protocol looks poised to play a big part in that expanding Solana ecosystem. 

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John Tunney

John Tunney is an accomplished analyst and crypto enthusiast. The UCLA alum has been actively reporting and blogging for 3 years, and has a passion for all things finance.