Blockchain networks that support file storage are not new. Projects like Filecoin, Arweave, and others offer a service similar to Google Cloud, allowing users to store and retrieve large amounts of data. However, the Walrus protocol aims to create a more advanced decentralized storage network, with support from prominent investors.
The Walrus Foundation, a key entity behind the protocol, recently announced a successful fundraising round of $140 million through the sale of their cryptocurrency, $WAL. Major investors include Standard Crypto, Andreessen Horowitz’s crypto division, Electric Capital, and Franklin Templeton Digital Assets. This fundraising round valued the total supply of the Walrus protocol’s cryptocurrency at $2 billion.
“Previous attempts at onchain storage have struggled with scalability, flexibility, and security,” stated Adam Goldberg, managing director and cofounder at Standard Crypto.
Developed by Mysten Labs, the creators of the Sui blockchain, the Walrus protocol has gained significant interest in a short period. CEO Evan Cheng mentioned that the $140 million funding was secured in the past three weeks due to high demand.
Walrus is the first fundraising effort for Mysten Labs focused on the protocol. The company previously raised $300 million in 2022 to develop Sui, a blockchain that utilizes a unique programming language created by Ethereum. While decentralized cloud computing networks are typically slower than centralized services like Google or Solana, they offer enhanced processing power for building blockchains.
Walrus shares the same emphasis on speed with other decentralized storage networks but promises users faster and more cost-effective options. Cheng highlighted that existing protocols like Filecoin and Arweave are either slow or expensive in comparison. He also mentioned that Walrus allows for easier code integration, unlike older storage protocols that are limited to archival purposes.
Although still in beta, Mysten Labs has already developed a web-hosting service on the Walrus protocol. The project, including its cryptocurrency, is scheduled to launch on March 27, according to Cheng.
This story was originally featured on Fortune.com
