“Super Stablecoin” Platform Array Claims to Raise $10M from Temasek
Decentralized finance (DeFi) protocol Array announced it had reached a valuation of $100 million after bagging a $10 million investment from Singapore-based investment behemoth Temasek. Array is working on an algorithmic currency system to provide greater scalability, stability, and efficiency than other cryptocurrencies. However, later the investment fund denied any connection with the project.
What is Array?
Array, an omni-chain protocol developing a next-gen algorithmic currency system, announced on Monday it had secured a $10 million injection from the Singapore-based investment firm Temasek. With the new investment, Array’s valuation exceeded $100 million, “making it one of the most valuable algorithmic currency systems in the market,” the company said in the press release. Array said this is its second funding round.
Array said it is developing an algorithmic currency system that offers users a more efficient, stable, and scalable asset than traditional crypto assets such as Bitcoin. This would make Array “a promising candidate for a variety of use cases, including payments, remittances, and investment,” the company said in the announcement.
The protocol launched a native token, $ARA, a decentralized reserve currency, a wealth storage method backed by the Array treasury. Compared to other cryptocurrencies, $ARA has two prices – the market price and the floor price. According to its blog post on Medium, Array develops a super stablecoin “through an algorithm system invented by itself.” This system prevents $ARA’s floor price from breaking, meaning the token will never be liquidated, Array said in the post.
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Temasek Continues Investing in Crypto After FTX Fallout?
The rumour comes just months after the collapse of one of the biggest crypto exchanges, FTX. Temasek, just one of the prominent investors in FTX, saw reputational damage after it was revealed that FTX was one of the biggest financial frauds in US history.
The investment giant participated in FTX’s $900 million funding round in 2021, which valued the crypto exchange at $18 billion. The exact size of Temasek’s investment was not disclosed.
But even though Temasek has made several notable crypto-related investments in FTX, Coinbase, and Animoca Labs, its portfolio primarily consists of technology, healthcare, and financial services companies. While Singapore’s Ministry of Finance wholly owns it, the conglomerate operates independently, with a portfolio worth over $400 billion.
Editorial Update (2nd May 6:02 AM EST): Temasek has denied investing in Array with an official statement. The initial source of the report has been hence deleted. The article has been changed to reflect the updated info.
What do you think about Array’s idea of a “super stablecoin”? Let us know in the comments below.