Community Support Soars for PoolTogether
In a remarkable show of solidarity, the decentralized finance (DeFi) platform PoolTogether has reached its goal of raising 769 Ether (ETH), equivalent to approximately $1.4 million, in just ten days! This funding is earmarked for its legal defense against a class-action lawsuit that many in the space perceive as a threat to the entire DeFi community.
The Power of NFTs in Fundraising
PoolTogether’s innovative fundraising campaign, called “PoolyNFT”, is selling three different tiers of non-fungible tokens (NFTs) to generate funds. These NFTs are priced at 0.1, 1, and 75 ETH, depending on how exclusive they are, and have attracted over 4,200 unique wallets. With 16 days remaining in the campaign, excitement is in the air, and if all NFTs are sold, the total amount raised could reach a staggering 1,076 ETH, or $2 million!
Who’s Buying NFTs?
Support has flowed from various corners of the crypto world, including notable figures like Chris Dixon from Andreessen Horowitz. Dixon shelled out 75 ETH—a whopping $141,000—for a Pooly Judge tier NFT, underscoring the serious level of commitment from the community.
What’s at Stake?
The lawsuit against PoolTogether is spearheaded by Joseph Kent, who previously worked on Senator Elizabeth Warren’s 2020 campaign. After spending:
- $12 on lottery tickets
- Claiming PoolTogether operates an illegal lottery in New York
- Seeking compensation of double what he spent, plus legal fees and costs
It appears Kent’s issues with crypto run deeper than just his brief experience with PoolTogether, as he has voiced concerns about the whole ecosystem, including scams and environmental impacts.
How PoolTogether Works
PoolTogether offers something quite unique: risk-free lotteries supported by stablecoin deposits. Participants buy tickets, and their funds are pooled together to earn interest through DeFi lending protocols. The kicker? The lottery winner isn’t the only one who walks away with something. While the grand winner takes a hefty yield share, runners-up receive smaller payouts, and the best part? Everyone else gets a full refund!
Conclusion
The resilience of the DeFi community is apparent as they rally around PoolTogether in its time of need. As the legal battle unfolds, all eyes will be on how this innovative platform navigates the tricky waters of regulations and legal scrutiny. Stay tuned for more updates!
