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DJ KR1 plc Investment: Acala Network

 
TIDMKR1 
 
26 March 2020 
 
                                    KR1 plc 
 
                           ("KR1" or the "Company") 
 
                           Investment: Acala Network 
 
KR1 is pleased to announce that the Company has invested a total of 65,000 USD 
in the Acala Network project. KR1 took part in the Acala seed round and will 
receive a total of 866,666.67 Acala ("ACA") tokens at a price of 0.075 USD per 
ACA token. 
 
The Acala Network is building decentralised finance infrastructure for the much 
anticipated Polkadot ecosystem. The core offering will be a stablecoin, which 
will be transferable across different blockchains and collateralised with many 
digital assets. A stable digital currency for low-cost borderless value 
transfer is a building block for a wide array of open finance products and 
creates an ecosystem of business lending with previously hard to achieve 
predictable risk. 
 
A secondary offering of the Acala Network will be a liquidity protocol for 
staked digital assets. Utilizing Acala's to-be-released liquidity protocol, 
staked Polkadot ("DOT") tokens that are earning yield can become liquid and 
tradable. In the current blockchain ecosystem, digital assets that are locked 
as part of a 'Proof-of-Stake' network cannot be traded. Acala improves this 
process with a new innovative marketplace of staked assets, with market forces 
determining liquidity and risk premia or discounts. 
 
KR1 took part in the seed round alongside Polychain Capital, P2P Capital, 
HashKey, SNZ and other prominent investors. 
 
Ruitao Su, Co-Founder of Acala, commented: "We are delighted to be working with 
KR1 and other partners to develop the DeFi foundation infrastructure for 
Polkadot and beyond; together we will grow Acala to its full potential." 
 
KR1 also intends to use a small part of KR1's DOT allocation to support the 
Acala Network, which might require locking up some DOT tokens for a certain 
period of time to receive additional ACA tokens. This happens by an auction 
process called a 'Parachain Auction', which is unique to the Polkadot 
ecosystem. Projects bid for limited amounts of Polkadot 'Parachain' slots that 
facilitate cross-chain transactions. 
 
George McDonaugh, Managing Director & Co-Founder of KR1 commented: 
 
"Stablecoins have become a central pillar in the crypto ecosystem with Maker's 
DAI sparking the $1bn USD DeFi movement on Ethereum. With the unique 
characteristics of the Polkadot ecosystem, a Polkadot native stablecoin based 
on Substrate could prove hugely significant in forming the basis of new 
financial products and be a catalyst for Polkadot to thrive. Stablecoins are 
currently siloed in their respective blockchains, so a stablecoin that works 
across any chain could be a game-changer for any DeFi product and the basis for 
rocket fuelling the whole space. The Acala team are highly technical and 
perfectly placed to bring this essential financial layer to market. We are 
thrilled to be able to support them at this first stage of their project." 
 
=-ENDS-- 
 
For further information please contact: 
 
KR1 PLC 
George McDonaugh 
+44 (0)16 2467 6716 
Simon Nicol 
simon@KR1.io 
 
Peterhouse Capital Limited 
(AQSE Corporate Adviser) 
Mark Anwyl / Allie Feuerlein 
+44 (0)20 7469 0930 
 
Nominis Advisory Ltd 
(PR Adviser) 
Angus Campbel 
pr@KR1.io 
 
About KR1 plc 
 
KR1 is a leading digital asset investment company supporting early-stage 
decentralised and open-source blockchain projects. Founded in 2016 and publicly 
traded in London (KR1: AQSE Growth Market), KR1 has built a notable reputation 
for generating significant returns by investing in many key projects that are 
designed to power the decentralised platforms and protocols that are emerging 
to form new internet infrastructures. 
 
www.KR1.io 
 
Market Abuse Regulation (MAR) Disclosure 
 
The information contained within this announcement is deemed by the Company to 
constitute inside information as stipulated under the Market Abuse Regulation 
(EU) No. 596/2014. Upon the publication of this announcement via a Regulatory 
Information Service, this inside information is now considered to be in the 
public domain. 
 
 
 
END 
 

(END) Dow Jones Newswires

March 26, 2020 03:01 ET (07:01 GMT)