Blockchain infrastructure co Spacemesh raises $15m

Bitcoins

The Israeli company picks up where Bitcoin left off, allowing newcomers to contribute to the security of the cryptocurrency with hard drive storage space.

Israeli blockchain infrastructure company Spacemesh has announced the closing of a $15 million Series A financing round led by Polychain, the world's premier investor in cryptocurrency protocols and with the participation of MetaStable, Paradigm, Coinbase Ventures, Bain Capital, 1kx, Arrington XRP Capital, Danhua Capital, Gumi Crypto, Electric Capital, Collaborative Fund, Jack Herrick and others. Previous investors include Slow Ventures, Dekrypt Capital, iAngels, BRM and Gigi Levy-Weiss.

Spacemesh is a community of academic researchers and open source developers developing a base layer protocol for a new blockchain infrastructure. The company has no plans to raise additional funds, and will use its current proceeds to fund the development of the Spacemesh protocol and programmable cryptocurrency.

Spacemesh essentially picks up where Bitcoin left off, allowing newcomers to contribute to the security of the cryptocurrency network via a universally available and untapped resource: hard drive storage space. Fairness is achieved by ensuring that the rewards reaped by participants will be relative to the resources they supplied. Spacemesh cofounder Tomer Afek said, “This is absolutely necessary, if a decentralized system wishes to gain mass adoption of home miners - and in particular, the original bitcoin miners. As many of the fairness problems result from a race and the obtaining of unfair advantage by methods such as Asic Mining, achieving consensus without using any race is an important part of how we can mathematically prove fairness, and ensure the home miner’s profit margins.” Spacemesh cofounder Aviv Eyal added, “This is what helps to make Spacemesh race-free - parties don’t race each other to extend the public ledger, but rather, every honestly mined block is accepted into the ledger. This also greatly improves the throughput and energy efficiency of Spacemesh.”

Published by Globes [online], Israel business news - www.globes-online.com - on September 6, 2018

© Copyright of Globes Publisher Itonut (1983) Ltd. 2018

5 Comments
View comments in rows
Update by email about comments talkback
POST
Comments
Twitter Facebook Linkedin RSS Newsletters גלובס Israel Business Conference 2018