Squads Will Supercharge DAOs On Solana With $5M Fundraiser

Squads will supercharge DAOs on the Solana blockchain after the $5 million fundraise as we can see further in our latest blockchain news today.

The collaborative infrastructure came as Squads launched on the mainnet and reveal Multicoin Capital-led funding. The DAO infrastructure proejct Squads launched on the Solana mainnet and the project raised $5 million in a round led by Multicoin Capital. DAOs were a hot topic in the crypto space in the past few months with most of them being built on Ethereum. With today’s launch of collaborative infrastructure protocol Squads, other blockchain networks like Solana could look more appealing for decentralized teams and projects.

Squads announced the mainnet launch at the Solana hacker house event in Moscow and anticiapted a rollout paired with the announcement of a $5 million strategic funding round. Multicoin Capital led the round and others took part as well like Delphi Digital, Jump Capital, Collab+, Volt Capital, and others. Squads is actually a collaborative infrastructure for Web3 native teams as the co-founder Stepan Simik explained. He explained that Squads provides the on-chain building blocks for Solana-based DAOS to function beyond the chatter that happens on a Discord server. Simkin explained:

“Right now in Web3, you can be an individual or you can be a DAO, but there isn’t really a way for teams to organize their decision-making and manage group funds in a more trustless and transparent fashion. Squads is all about providing flexibility for teams to find the right framework for them to organize and do things together in the Web3 space.”

Squads’ feature set runs on a distributed team like a multi-signature wallet that requires multiple validations to confirm the transactions and a vault for managing the team funds. Squads also fill many critical needs for DAOs on Solana in one protocol and enable decentralized collaboration while keeping up with the transparency. Simkin added:

“It’s a young ecosystem, which is mostly full of builders—people are coming to Solana to build new protocols and new projects. We are kind of getting in at the right time with the tooling that we have.”

DAOs allow decentralzied communities came together for a shared purpose like raising funds or pooling cryptocurrencies and to support the development of protocols and projects while some described the DAOs as a group chat with the bank account in a way. The concept was popularized by The DAO which is a huge ETH project that got hacked in 2016 which altered the entire trajectory for the blockchain network.