A subsidiary of blockchain startup Circle created to build its ethereum-based CENTRE payments network has raised $20 million in a Simple Agreement for Future Tokens (SAFT) sale.
CENTRE, as previously reported, is aimed at providing a way for different payment applications to connect through the use of ERC-20 tokens. Part of the plan will see CENTRE employ the CENT token as means to access the network as well as connect applications that don’t share a common national currency.
The funding will go toward developing the network as well as setting up a non-profit foundation that will operate independently of the Boston-based startup. A representative said that the $20 million in funding is being held by the CENTRE subsidiary, separate from Circle.
Circle CEO Jeremy Allaire and president Sean Neville wrote in a blog post announcing the SAFT sale:
“As a result of this funding, the CENTRE Foundation now has the capital to recruit talent, invest further in research and development, build partnerships, and become a non-profit entity independent of Circle.”
The CENTRE sale is the latest instance in which the SAFT – based on the Simple Agreement of Future Equity (SAFE) contract employed by accelerator Y Combinator – has been employed. Allaire and Neville wrote that the sale came ahead of a planned public sale of CENT tokens, the date of which has not been released.
Disclosure: CoinDesk is a subsidiary of Digital Currency Group, which has an ownership stake in Circle.
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