Solana-based Lending Protocol Solend Raises $26M in IDO

Solend, a Solana-based borrowing and lending platform, has raised over $26 million via an IDO (Initial DEX Offering) conducted this week. 

(Source: Solend IDO page)

The Solend IDO, which was modeled after Mango Protocol, lasted three days from November 1, 2021 to November 3, 2021, with several investors contributing their USDC stablecoin to the Solend’s pool, in order to redeem an amount of SLND tokens proportional to their deposit in the pool.  

A total of 5 million SLND tokens, representing 5% of the total supply, were set aside for the IDO, with 4 million units of the Solend’s native cryptocurrency distributed to USDC contributors while 1 million will be awarded to USDC-SLND liquidity providers. 

According to the lending and borrowing protocol, all proceeds of the IDO will be deposited to the Solend’s Treasury, an account dedicated to insurance, grants, user acquisition, and anything the project’s DAO chooses. 

Solend (SLND) Tokens 

The Solend’s cryptocurrency, which is developed to give holders the right to participate in the protocol’s governance, has a max supply of 100 million tokens. 

Of the total supply, 60% is allocated to the community, with half dedicated to the Solend’s liquidity mining program, and the other half is allotted to the treasury. 

A total of 25% is allocated to the core team and 15% is reserved for investors. Solend noted that it has already distributed 10% of the investors’ allocation during its last seed funding round, where it raised $6.5 million from notable investors, including Coinbase, Solana Ventures, and Alameda Ventures among others. 

Solend’s Impressive Run 

Since the lending and borrowing protocol won the Solana hackathon competition in June, Solend has grown significantly with numerous milestones achieved. 

In August, Solend launched its mainnet, and the platform has so far received over $1 billion in deposits and $458 million borrowed. The $1 billion milestone was achieved on the same day the IDO climaxed.

Solend has more than 68,000 users accounts with at least $1 deposit. Its community across various social media platforms has also recorded significant growth, having gained over 26,000 followers on Twitter and more than 11,000 Discord members.