Blockchain venture capital company CMCC Global has made its partnership with Sonic Labs official, as they have jointly launched the Resonance Fund, which also means a $25 million Sonic ecosystem initiative.
In a post on Sonic Labs’ official blog, the fund is described as an initiative to support protocols and founders that are driving innovation within the Sonic ecosystem.
Resonance will invest in decentralized finance (DeFi) as well as consumer-facing applications with the goal of growing adoption and the necessary growth capital and strategy.
Adoption Via Fee Monetization and Liquidity Expansion
The Resonance Fund has a core focus in the area of Fee Monetization (FeeM), a revenue model intended to create sustainable income streams for smart contract developers.
The fund will pursue projects that implement this model, promoting financial sustainability in the Sonic ecosystem. Resonance will also help to increase liquidity within the network.
It will do this by allocating funds to early-stage projects led by emerging DeFi leaders and holding Sonic-based assets with high liquidity, thus promoting long-term viability while supporting growth in the ecosystem.
CMCC Global’s Longstanding Presence in Blockchain Investment
CMCC Global is one of Asia’s first and most established blockchain-focused venture firms, bringing with it established credibility and deep experience for the Resonance initiative.
The firm is known for its principled, high-conviction investment strategy, converting its commitment into value-adding and transformative blockchain projects in the years it has been in existence.
Tremendously excited about Sonic’s opportunity, James Tran, Portfolio Manager of Resonance, stated that the fundamentals of Sonic’s ecosystem are “ahead of the market narrative.”
They also emphasized its scalable and performant design as a strength for advancing further alongside DeFi applications, next-generation consumer applications, and new blockchain primitives.
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Strategic Impact on the Sonic Ecosystem
Sonic Labs views the Resonance Fund as a significant milestone toward advancement. CEO Mitchell Demeter expressed confidence in CMCC Global, who have a long and successful history of finding the best teams and protocols and influencing the direction of ecosystems in the future.
Demeter observed that institutional capital is “waking up” on Sonic’s path and sees Resonance as a bridge to committed investors to the next level of the crypto space.
Bringing institutional capital to Sonic puts individuals in the position to innovate, find builders, and invite more to adopt their products, services, and solutions on a worldwide scale.
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Growing Interest in Crypto Funds
The creation of the Resonance Fund represents a growing trend of institutional capital moving into the digital asset space.
Earlier this year, Haun Ventures indicated that it plans to raise $1 billion for new Bitcoin-focused funds, according to UnoCrypto.
Also, we reported that Standard Chartered Ventures said it plans to raise a $250 million global crypto fund by 2026, which is expected to receive some support from Middle Eastern investors.
CMCC Global’s introduction of the Resonance Fund validates growing recognition of blockchain ecosystems like Sonic, which means institutional investors will continue with a longer-term investment mindset to get exposure to digital assets.
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