Plutus, a pioneering DeFi start-up has received $5 million in funding from a prominent crypto fund, Alphabit, in light of their upcoming product release, a crypto wallet that includes both Ethereum and Bitcoin which could rival the likes of MetaMask.
Bitcoin recently hurdled the $1 trillion market cap milestone which makes it more valuable than Facebook Inc., the 6th most valuable company in the world. What started out with a 9-page document by a pseudonymous writer has gone on to change modern finance as we know it.
Whilst Bitcoin has paved the way as the first peer-to-peer encrypted currency, other contenders have joined the space in an attempt to improve upon areas that Bitcoin is lacking.
Vitalik Buterin, an early ambassador of crypto, co-founded Ethereum in 2015 to do exactly this. He built a blockchain that people can build all kinds of decentralised applications (d’Apps) upon instead of it being used merely for payments.
After some huge price jumps, Ethereum hit its own milestone with a market cap of $500 million. To put that into perspective, this is where Bitcoin was just five months ago. As a result, Vitalik gained billionaire-dollar status.
Potentially the most popular DeFi wallet for Ethereum at the moment is MetaMask. With 5 million active monthly users, MetaMask has established itself as a reliable, secure, and trusted wallet for crypto enthusiasts.
For those who are new to crypto and are unfamiliar with MetaMask, it comes as a browser extension and allows you to send and receive Ethereum-based tokens (ERC-20), which accounts for the majority of coins on the market.
One issue, Bitcoin is still considered the king of crypto and accounts for 42% of the entire cryptocurrency market; and this is at a point where Bitcoin dominance is at a comparatively low point in its lifetime. Traditionally, Bitcoin’s market cap amounts to closer to 60% of the crypto industry’s market cap.
The New Rival Player
One UK based crypto start-up spearheaded by crypto entrepreneur, Danial Daychopan, who is looking to capitalise on the opportunity in Plutus by beta testing their all-in-one wallet for Bitcoin, Ethereum and others, the Plutus Wallet on 18th May. This is a company that has been developing innovative DeFi tech since 2015 and already has an extensive array of DeFi products publicly available including the PlutusDEX and their Plutus DeFi Card which are both connected to a regular fiat current account.
The Plutus Wallet is stated to follow a very similar format to MetaMask except with the added benefit of Bitcoin. Users will be able to create, or import, Ethereum and Bitcoin wallets and manage both under one user-friendly browser extension. This multi-currency functionality will prove hugely convenient for those who dabble with more than just ERC-20 tokens.
One of the biggest perks of MetaMask is its ability to interact with d’Apps; you can retain possession of your private keys whilst interacting with other services. Plutus has made it possible for their Bitcoin equivalent to interact with compatible d’Apps which could prove a huge milestone for the industry.
Alphabit, an established crypto fund, recently purchased $5 million worth of Plutus’ native token, Pluton (PLU) in light of the wallet developments. The funds are said to contribute to international expansion and product development. Off the back of the news, the token climbed over 104% in less than a week, and given the size of competitors in the space, there could be a lot of upside potential still to come.