Pontem Network, a decentralized application that seeks to connect Facebook’s Diem to public blogging chains like Ethereum (ETH), has raised $ 4.5 million in initial investments, setting the stage for the continued development of the ambitious digital currency project.
The Pontem Network is described as a chain based on the Polkadot substrate, meaning it can serve as a test network for Facebook’s Diem blog chain. By using a Polkadot parachute, Pontem can present the potential of Diem to developers, allowing them to validate their ideas before sending them to the Diem Association.
Pontem co-founder Stas Oskin said the vision of its platform is to “allow developers to build for Diem and at the same time enjoy Polkadot’s liquidity, data and user base”.
Jehan Chu, co-founder and managing partner of Kinetic Capital, one of Pontem’s sponsors, said:
“Pontem is a bold project in the sense that it not only creates a testing ground for Diem, possibly the largest and most adopted blockchain project in the world, but also an active testing ground for new protocols and communities.”
Pontem also announced his intention to hire new talent to continue scaling the project. The company recently recruited Alejo Pinto, before BlockFi, for the role of growth director. He said:
“Pontem’s vision of a decentralized framework for Facebook’s cryptography project to ensure that the bureaucracy of an authorized blockchain system does not hinder innovation in our goal of financial inclusion.”
According to reports, the Diem Association, backed by Facebook, will launch its stable currency pilot later this year. As Cointelegraph reported earlier, the pilot focuses on a stable currency backed by the United States.
Diem is considered to be a scaled-down version of an original digital currency project that was first introduced by Facebook in 2019. Diem changed its name to Pound in late 2020, denoting the new start of the project since of their previous associations.