Web3 Infrastructure, a company which develops solutions to manage nodes for Blockchain providers and has announced that they have raised almost $11 million in order to lower operating costs.
According to the company, it received funding from Gradient Ventures as well as Dragon Roark and Active Capital. It also raised money through a combined Series A and Seed round.
This company creates a “nodes -as – a-service” white label blockchain product management for enterprises that host nodes. The solution is much cheaper than other cloud solutions. It claims its product can provide a cloud-like experience, and lower operating costs up to 80 percent.
A blockchain node’s function is to help secure the network. A node, depending on its protocol, can accept or reject a transaction, confirm that it is valid, and add the information to the distributed ledger. It may also broadcast the history of transactions to all other nodes. The nodes are essential to maintain the decentralized nature and robustness of the blockchain network.
Enterprise node hosting services run software to maintain nodes on cloud services like Amazon Web Services or Microsoft Azure. These two providers provide node management but not directly on commodity server. While it may be tempting to host nodes using cloud services because of their ease and speed, the cost and efficiency are less.
Chris Bruce, BlockJoy co-founder, chief executive and founder, said: “By using BlockJoy’s unique technology, and our focus of blockchain-specific Web3 Infrastructure, we are able to shrink the cost of running nodes further than a typical cloud provider.”
BlockJoy is the creation of Bruce Carey along with co-founder Sean Carey. They started it as a staking company for their friends and families. The “stake” is the locking up of cryptocurrency for the purpose of securing a blockchain. This allows people to receive rewards.
Projects took off quickly, and founders started using the platform for nodes in other businesses. Bruce and Carey founded four other companies before founding BlockJoy. Helium Inc. is a blockchain-based “internet of things network” valued at $1.2 billion.
Bruce and Carey learned from their experiences that it is difficult for most people to operate their own validator. Cloud-based nodes can be up to three times as expensive as running them on metal. It meant that constructing a Web3-specific infrastructure could enable any person or company to manage and deploy their own nodes. This was potentially a large market.
Bruce said that BlockJoy is the only platform designed specifically for the running of blockchain nodes in infrastructures built for Web3.
The company has a large number of crypto-related companies that it supports as clients, such as Helium, Indodax and Seeed Studio, Gate.io and the Binance and Crypto.com exchanges. It launched its beta version today, with support of Ethereum and Helium. After the beta, the company plans to launch a production version with support for nearly 30 protocols.
BlockVisor- the company’s node manager software that is available at the moment for only $9.99- will be used to continue the development of the product. beta signups.