Chia received over $ 60 million for new project

Blockchain startup Chia Network has received $ 61 million in funding from the leading venture capital firms Andreessen Horowitz and Richmond Global Ventures.

According to an anonymous source from Bloomberg, funding for the project was also supported by AngelList CEO and co-founder Naval Ravikant, Breyer Capital and True Ventures. In total, Chia Network’s decentralized smart contract platform has been valued at approximately $ 500 million.

Chia’s president and chief financial officer, Gene Hoffman, said the company intends to go public this year through an initial public offering (IPO).

Notably, Chia Network was founded in 2017 by BitTorrent creator Bram Cohen. And in 2018, the network raised over $ 3.3 million in a seed round led by Ravikant and Andreessen Horowitz. The firm calls its XCH token “green money for the digital world”.

Despite the firm’s touting XCH as a green alternative to bitcoins and other cryptocurrencies, some have questioned these claims.

Most recently, the author of Attack of the 50 Foot Blockchain, David Gerard, in his article titled “Chia Is a New Way to Waste Resources for Cryptocurrency,” accused the company of consuming too much electricity.

Gerard emphasized that Chia typically uses a computer’s solid state drive (SSD) in the process, and can burn it in less than six weeks. Regularly used solid state drives, though, should last over ten years.

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