US-based price-stable digital currency developer Terra closed a $32m seed round yesterday co-led by cryptocurrency exchanges Binance Labs, OKEx, Huobi Capital and Dunamu.
Polychain Capital, FBG Capital, Hashed, 1kx, Kenetic Capital, Arrington XRP Capital, TransLink Capital and a range of unnamed investment funds have backed the round.
Huobi and Dunamu provided capital through their respective corporate venture capital units Huobi Capital and Dunamu & Partners.
Terra is working on a digital currency that relies on blockchain technology to power a payment platform for e-commerce businesses. Terra’s currency is set to offer price stability, differentiating itself from other digital currencies such as Bitcoin, which can fluctuate widely.
The company has already signed up fifteen e-commerce companies to use its platform, including South Korea-based TMon, which shares co-founder Daniel Shin with Terra.
Shin said: “From experience, I know that faster, more secure transactions at a fraction of today’s fees could be a game-changer for many e-commerce platforms. We are excited to be working with great partners and look forward to beta-testing Terra’s payment system in Q4 of this year.
“However, our vision goes beyond positioning Terra as a trusted and secure medium of exchange for e-commerce. The potential application of Terra is immense, and we foresee it being used for all types and forms of financial products like loans and insurance.”