Andre Cronje, the veteran of the DeFi industry, made a rapid return to the industry with a new cryptocurrency project.
Accordingly, Andre Cronje, the name behind Fantom (newly named Sonic) and Yearn.finance, announced that he has launched his new project called Flying Tulip (FT).
Cronje's new project has received $200 million in investment and reached a token valuation of $1 billion.
Participants included companies such as Brevan Howard Digital, CoinFund, DWF Labs, FalconX, Hypersphere, Lemniscap, Nascent, Republic Digital, Selini, Sigil Fund, Susquehanna Crypto, Tioga Capital, and Virtuals Protocol.
The project plans to raise up to $800 million in additional funding through a public FT token sale. Cronje said the FT sale will be conducted on Flying Tulip's own platform, not existing ICO platforms.
All investors in both private and public rounds will have the right to repay up to their original principal (e.g. in ETH) at any time.
One of the distinguishing features of Flying Tulip's rise at this point is the “on-chain repurchase right,” also described as a perpetual put option.
Investors in both private and public rounds can burn their FT tokens at any time to buy back up to their original principal in assets they invested in, such as ETH.
Cronje said this model is designed to provide investors with downside protection while maintaining “unlimited upside potential.”
Cronje also noted that there was always a possibility of the investment being recouped, and that the money actually raised was zero.
“Because the money can be withdrawn at any time. But we will also invest this money. We will invest it in low-risk DeFi protocols such as Aave, Ethena, Spark.”
*This is not investment advice.