Parallel Finance, the institutional-grade lending protocol for Decentralized Finance, has announced that it has secured the 4th slot in Polkadot’s parachain auctions. Parachain will begin its slot lease in a little over a week, joining the other winners of previous auctions.
Details Of The Auction
Parallel Finance took to Twitter to announce the news to their supporters, successfully securing its place for the next two years. Over 30,000 contributors pooled in their DOT tokens, leading to a contribution of over 10.75 million DOT tokens, equal to roughly $306 million.
Parallel Finance described securing the parachain as a landmark achievement, managing to maintain a lead over other competing projects such as Litentry, Clover Finance, and other participants in the running. In doing so, Parallel managed to achieve the third-highest DOT contribution among all auctions held so far, managing to achieve the feat during the closing hours of the crowd loan.
Outcompeting Other Projects
As mentioned earlier, Parallel Finance achieved the third-largest DOT contribution in the parachain auctions, although this paled in comparison to what Acala and Moonbeam raised. However, Parallel Finance did manage to secure notably more contributions than quite a few notable projects vying for a parachain slot. Projects such as Efinity NFT and the Metaverse Project were some of the projects that Parallel pipped to secure a slot.
Significant Amount Of Community Participation
The crowdloan allows Parallel Finance to completely bootstrap its connection to Polkadot, with the auction process seeing significant participation from the Parallel community. Parallel Finance founder Rubo Yuan expressed gratitude towards the contributors, thanking them for enabling Parallel to become a part of the Polkadot ecosystem.
He further went on to say,
“The Parallel Finance team thanks the community members for showing trust, thereby helping us to become part of the Polkadot ecosystem by securing a parachain. It’s been a huge milestone in a very short period of time. Since its inception in April 2021, Parallel Finance is gaining ground as the most trusted institutional-grade lending protocol for decentralized finance.”
Ready To Hit The Ground Running
The first batch totaling five Polkadot parachain auctions is set to conclude by mid-December, with Parallel Finance and the other parachain winners set to go live on 17th December. The lease duration is 96 weeks, with Parallel holding the funds until the allotted duration lapses. Rewards will be distributed in phases, or nine separate sessions, with the first distribution scheduled five days after the parachains, are deployed, with subsequent rewards disbursed every 92 days.
Other Parachain Winners
The previous parachain auctions saw projects such as Acala and Moonbeam secure the first two slots, with Acala narrowly beating Moonbeam to secure the first Parachain. Acala received a total of 32,515,989.5 DOT from around 81,218 contributors, with the value of the DOT tokens around $1.27 billion. Moonbeam won the second parachain slot, with the Moonbeam community contributing 35 million DOT, valued at $1.4 billion. This was the largest contribution on record from the largest number of contributors. The third parachain slot was secured by Astar.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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