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An unexpected development recently saw Terraform Labs, the creator of both the stablecoin TerraUSD and also its associated coin Luna, filing for bankruptcy in line with Chapter 11. Meanwhile, Borroe Finance ICO reaches almost $2.7 million as it brings new Web3 financing ideas in place.
The Terraform Labs Saga
Terraform Labs, based in Singapore, has been a notable figure in the crypto industry since its stablecoins caused a market crash in 2022. The token UST; a stablecoin that was algorithmic in nature, proved to be unstable and weakened the trust in its stability mechanism.
Co-founder Do Kwon was charged by the SEC in connection with this crisis, following which Terraform Labs recently filed for Chapter 11 and is now a doubtful entity.
Over the past year, Terra Luna Classic (LUNC) price has declined significantly. As of the time of writing, LUNC is down 34% since the beginning of the year 2024.
Borroe Finance: Simplifying Web3 Financing
In the face of headwinds for Terreno Classic, Borroe Finance is bringing to life a new Web3 financing solution. The project aims to help Web3 businesses overcome financial bottlenecks using their AI-based invoice discounting NFT marketplace.
Borroe Finance contributes a solution to the issue of liquidity constraints by enabling businesses to tokenize future revenue streams as NFTs.
The mission of Borroe Finance is to change the way Web3 funding works, by creating a platform where NFTs representing the future income streams of crypto startups can be sold and purchased. This model implies that businesses get cash upfront and also gives the investors a chance to invest in the projects of their choice.
Borroe Finance uses blockchain technologies, AI-enabled risk analysis and smart contracts to simplify financial operations. That makes the funding process fast, smooth, reliable, and without any delays of paperwork common to traditional lending.
Security is one of the major concerns for Borroe Finance. The platform uses blockchain transparency to store all the transactions with an immutable record. AI-based risk reduction vetting processes foster investors’ confidence. It is further confirmed by the strict auditing conducted under BlockAudit, an experienced smart contract audit platform.
Currently in the presale, Borroe Finance has made progress on several fronts. At the fourth stage of the presale, one ROE token is selling exchanging hands for $0.19, and more than 80% have already been sold out from the allocated tokens in this stage.
Borroe Finance has raised almost $2.7 million dollars in the presale to date. The project is led by Michael Price as a former VP at XE.com, and Maxim Prishchepo who is very well known among blockchain professionals.