ETHGas introduces Ethereum’s Blockspace Futures Market with $800 million in commitments and …
ETHGas has introduced Ethereum’s blockspace futures market, securing commitments of $800 million and a $12 million seed round led by Polychain Capital. This development in settlement infrastructure for Ethereum aims to make Ethereum’s blockspace tradable. Users of Ethereum and distributed compute applications will have the ability to trade, acquire, sell-forward, and hedge any amount of computation and storage on the blockchain through ETHGas.
One of the core purposes of ETHGas is to address Ethereum’s processing constraints and gas price volatility. This is achieved through transaction futures, also known as pre-confirmations, that cover various maturities and ensure precise order execution. By enabling Ethereum’s wholesale participants to mitigate risks within the transaction pipeline, enhance staking yields, and reduce gas price volatility for enterprises, ETHGas is a pioneering solution in the market that eliminates gas fees for consumers.
ETHGas is in alignment with the Ethereum Foundation and follows the vision of Ethereum co-founder Vitalik Buterin, who advocated for a gas futures market. This new initiative marks the beginning of Ethereum’s blockspace futures markets, establishing blockspace as a unique and tradable asset that is crucial for the sustainability of proof-of-stake blockchains.
Heading the ETHGas team is Kevin Lepsoe, a financial engineer with prior experience as the head of Morgan Stanley’s structured derivatives business in Asia. The team comprises engineers and quantitative developers from renowned institutions such as Morgan Stanley, Deutsche Bank, HKEx, and Lockheed Martin. The launch of ETHGas is complemented by the successful closing of a $12 million seed round, with Polychain leading the investment alongside stakeholders like Stake Capital, BlueYard Capital, Lafayette Macro Advisors, SIG DT, and Amber Group, as well as Ethereum validators, block builders, and relays.
Collectively, these entities have contributed an initial $800 million in commitments to support ETHGas’s marketplace and product development. The primary objective of ETHGas is to revolutionize how users engage with Ethereum by offering low-latency settlement times of just 3 milliseconds and a comprehensive product suite centered on precision order execution. By advancing Ethereum into a real-time network, ETHGas envisions a future where end-users can shield themselves from gas price fluctuations, explore opportunities for additional yield, and enhance their overall experience within the Ethereum ecosystem.
Polychain Capital, a renowned investment firm dedicated to the blockchain and cryptocurrency sector, is committed to driving the global adoption of decentralized technologies. By supporting innovative projects that redefine finance, technology, and community engagement, Polychain Capital plays a vital role in advancing the blockchain space. With their backing, and the collaborative efforts of the stakeholders involved, ETHGas is poised to bring about significant advancements in the Ethereum ecosystem and the broader blockchain industry.
