Colony Lab recently launched a decentralized fundraising platform that democratizes early-stage project investments which are traditionally only accessible to venture capitalists and well-off people. The platform's standout feature, 'Liquid Vesting,' allows investors to trade locked or vesting tokens on Colony’s DEX, providing immediate liquidity without impacting the secondary market.
Colony Lab Introduces Liquid Vesting
Colony Lab recently announced the debut of its groundbreaking decentralized fundraising platform that is designed to open up early-stage project investments to a much wider audience. Previously, these early investment opportunities were only available to venture capitalists and high-networth people.
Along with the fundraising platform, the company introduced a first-of-its-kind 'Liquid Vesting' feature, that gives investors the flexibility to trade their locked or vesting tokens on Colony's own decentralized exchange (DEX) without the usual restrictions.
This feature allows people to trade not fully vested tokens before the vesting period is completed, without it having an impact on the secondary market. The entire process is managed on-chain, which means that all transactions are transparent and secure.
Colony Lab has been working on this launch for about two years now, and its CEO and founder Elie Le Rest believes the new platform and its features will simplify and increase flexibility in crypto investing. In doing so, there will be a lot more opportunities for early investors that will then improve liquidity in the primary market. In addition to this, Colony Lab's new offering will also make early-stage investments much more accessible to investors.
Colony Lab’s latest announcement comes after it revealed in November of last year that it invested $10 million in the Avalanche blockchain ecosystem by buying more than 500,000 AVAX tokens.
What Exactly is Liquid Vesting?
Colony Lab's "liquid vesting" feature allows early crypto investors to trade their tokens before fully vesting without affecting the underlying projects or the secondary market. Wessal Erradi, co-founder of Colony Labs, describes it as a way to "have your bags and keep them too," as it makes it possible for investors to access liquidity immediately, bypassing traditional vesting wait times. Additionally, liquid vesting benefits new buyers by allowing them to establish long-term positions earlier in the investment process.
Colony Labs
Colony Lab is a driving force in accelerating the Avalanche ecosystem. It is focused on empowering early-stage projects and offering the community some unique investment opportunities. The platform provides essential early capital and ecosystem support for these early-stage projects, as well as organic exposure and a robust community of investors and potential users.
By bringing new projects to life, Colony Lab also gives community members access to exclusive investment opportunities and a variety of yield-generating products.