Former Facebook Employees Get $200 Million To Create Blockchain System For Aptos

This year, Silvergate Capital paid $182 million for Diem’s technology assets, bringing an end to Facebook’s plan to build a crypto payments network.

The deal underscores how the social network giant, now Meta, has just a limited number of regulatory-approved options for becoming a prominent player in the blockchain space.

These well-known investors participated in a strategic investing round, which was led by investors including Tiger Global, Multicoin Capital, Katie Haun and Coinbase Ventures.

Blockchain System For Aptos

Aptos, a project founded by ex-Facebook employees who just left the firm in December, has already received unicorn money from Andreessen Horowitz and other prominent web3 investors.

Aptos Chief Executive Officer Mo Shaikh said in a recent blog post:

“We are the founders, researchers, designers, and builders of Diem, the first blockchain developed for this purpose… while the rest of the world never saw what we produced, our job is far from done.”

Aptos has disclosed that it has raised $200 million in capital from Tiger Global, Katie Haun, Multicoin Capital, 3 Arrows Capital, FTX Ventures, and Coinbase Ventures to pursue its goal of establishing a blockchain scalability system.

Another prominent first-round investor is Silvergate Capital, while the Aptos team assures that they will not license or use any of Silvergate’s Diem IP as they develop their blockchain.

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Crypto total market cap at $1.78 trillion on the daily chart | Source: TradingView.com

No Direct Link With Facebook

However, some in the crypto industry are skeptical of implementing Facebook’s web3 vision, even though Diem proponents like Andreessen Horowitz may rally behind a group aiming to take up the effort.

“To be clear, we have no official connection with Facebook and no funding from them,” Shaikh said.

As a result, Aptos sees another challenge in recruiting developers. Move, an open-source programming language developed by Meta, is being used to lure new developers to the company.

The Aptos Devnet

Instead of building on top of existing decentralized networks like Ethereum or Solana, Aptos will create its own decentralized network from the ground up.

Additionally, Aptos launched its “devnet,” which will allow developers to explore and build on the Aptos blockchain before its public release, which the company expects to take place in the third quarter this year.

The fundamental objective of Aptos is to develop a blockchain that is more scalable, faster, and has cheaper transaction fees than the current major networks.

Customers that are interested in embracing blockchain technology should expect a more stable and dependable network from the project’s developers.

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Featured image from SiliconANGLE, chart from TradingView.com