The 1st Smart Chain Grant Recap: $780k Contributed to 108 Global Projects

In March 2021, the Smart Chain community successfully completed the first round of Quadratic Funding, demonstrating remarkable support for decentralized development. The initiative raised a total of 2907.15 BNB (approximately $780,000 USD), comprising community donations of 2,696.48 BNB and a Smart Chain prize pool contribution of 210.68 BNB. These funds were distributed across 108 global developer projects, which collectively received 20,226 community votes, with 92 projects specifically deployed on the Smart Chain ecosystem.

This groundbreaking funding initiative serves multiple strategic objectives for the Smart Chain ecosystem. It aims to accelerate Smart Chain development and ecosystem growth, attract innovative projects and talented developers to the platform, and foster connections with leading-edge blockchain initiatives. By channeling community support directly to projects, the grant program enables developers to gain recognition from the Smart Chain community while expanding their reach to global audiences, thereby advancing the broader blockchain landscape.

Since its launch in September 2020, the Smart Chain has rapidly expanded to host an ecosystem comprising over 450 projects, establishing itself as a major player in the smart contract blockchain space.

What is a Quadratic Funding Grant, and how does it work?

The Smart Chain Grants program represents a novel approach to decentralized funding, implementing Quadratic Funding mechanisms through HackerLink.io, a blockchain developer platform operated by DoraHacks. This platform enables developers worldwide to submit projects for consideration, with eligible project categories encompassing a broad spectrum of blockchain applications and services.

Eligible project categories include protocols deployed on Smart Chain, decentralized finance (DeFi) applications, decentralized autonomous organizations (DAOs), non-fungible tokens (NFTs), digital wallets, infrastructure solutions, data analysis and visualization tools, community initiatives, educational resources, and other innovative blockchain applications.

The funding mechanism operates through a two-pronged approach. First, direct donations come from community contributors who actively participate in supporting projects they believe in. Second, matching donations are provided by designated sponsors, creating a leveraging effect that amplifies community support. Individual community members participate by voting for their preferred projects using BNB tokens, with these votes translating directly into monetary contributions to the respective projects upon completion of the funding round.

The quadratic funding algorithm implements a sophisticated mechanism designed to encourage broad community participation. As the algorithm increases the cost of each successive vote from a single contributor to a specific project, it creates economic incentives for community members to diversify their support across multiple projects rather than concentrating donations to a single initiative. This structure promotes a more equitable distribution of funding based on genuine community preferences and reduces the influence of large individual contributors on fund allocation.

Highlights: 1st round of Quadratic Grant

The inaugural Smart Chain Grant round produced several remarkable outcomes that exceeded expectations. The community-driven voting participation substantially outpaced institutional support mechanisms, with community votes generating 2,696.48 BNB compared to the matching prize pool of 210.68 BNB, representing a ratio of 12.7 times. This dramatic disparity demonstrates exceptional community engagement and confidence in the participating projects. The 108 projects that received 20,226 total community votes were sourced from diverse geographic regions, with applications arriving from Europe, Asia, Africa, and North America, underscoring the truly global appeal of the Smart Chain ecosystem.

The Smart Chain team considers this first quadratic funding initiative a substantial success, validating a hybrid funding model that combines expert curation with community-driven allocation. This approach proved significantly more effective at engaging stakeholders compared to traditional funding programs composed exclusively of institutional investors or predetermined selection committees. The results suggest that community participation and expert validation together create a more robust and representative funding ecosystem.

Projects Recap

The top five funded projects in the first Smart Chain Grant demonstrate the diversity and innovation present in the Smart Chain ecosystem.

Blind Boxes emerged as the leading project, introducing the first gamified curation platform combined with a launchpad specifically for NFT projects. The platform addresses friction points for both collectors and creators. For collectors, Blind Boxes streamlines the asset discovery and purchase process, reducing barriers to entry. For creators, artists, and brands, the platform provides comprehensive opportunities to increase initial and repeat sales, attract new audiences, and establish meaningful connections with highly engaged collector communities.

Meta Network, developed by a Japanese development team, represents an innovative on-chain dynamic NFT gaming experience. The project leverages the Nash protocol framework to create a unique spacecraft gaming environment, combining blockchain technology with engaging gameplay mechanics.

BCTO | Bonding Curve Factory addresses a critical need in token economics by enabling the creation of programmable token issuance mechanisms. This project constructs bonding curve factories that generate sophisticated token issuance bonding curves, thereby making token issuance processes fully programmable and adaptable to various project requirements.

NASH Meta Universe presents a comprehensive blockchain-based metaverse gaming platform where players earn tokens through active participation and ecosystem contributions. The project's flagship offering, "Interstellar Pirates," is an MMO-style game enabling players to purchase and develop spaceships, engage in space racing competitions, and recover treasures from forgotten planetary ruins, creating a rich gaming economy within the blockchain space.

xDeFi distinguished itself as the most acclaimed project, founded by DoraHacks Hackathon 2020 champions and a top finisher in the Smart Chain Grant program. The project constructs a comprehensive decentralized finance stack incorporating essential best practices for DeFi marketplace reconstruction and evolution. The project's native token demonstrated remarkable market success during its initial launch auction, selling out within minutes and generating substantial trading volume, demonstrating exceptional market confidence.

Beyond the top five projects, several other initiatives warrant recognition. NSURE Network, based in Europe, develops an open finance insurance platform inspired by Lloyd's London's insurance risk trading model, implementing dynamic pricing mechanisms and capital mining strategies to ensure adequate capital reserves. APYSwap, originated from Ukraine, creates a decentralized exchange protocol for tokenized vault shares, establishing layer two blockchain functionality enabling trustless transactions and asset exchanges across multiple layer one blockchains while providing passive income opportunities for crypto holders.

NFT and DeFi, the focus in Smart Chain Grant 1

The Smart Chain ecosystem has experienced explosive growth over the period preceding the grant round, attracting exceptional NFT and intellectual property projects seeking a blockchain platform combining active community engagement, rapid transaction processing, and minimal transaction expenses. This environment fostered significant innovation across multiple blockchain sectors.

Notable Smart Chain projects operating in complementary spaces include several categories of applications. NFT marketplaces such as Bakery, Bounce, and Dego facilitate digital asset trading. GameFi blockchain games including Animoca, Seascape, Cocos, and My Neighbor Alice (developed by Antler Interactive) integrate gaming mechanics with decentralized finance. Strategic intellectual property collaborations through organizations like Animoca Brands and Chiliz partner world-renowned athletes, sports clubs, and publishing rights holders for digital sports events. Commercial implementations such as Realy establish partnerships with global brands including Star Wars, Adidas, Nike, and collaborate with renowned celebrities and public figures to bring mainstream brand assets to the blockchain ecosystem.

Conclusion

The first Smart Chain Quadratic Funding Grant represents a significant milestone in decentralized funding mechanisms and community-driven capital allocation. By successfully distributing $780,000 across 108 global projects through a combination of community voting and expert matching pools, the initiative validates the effectiveness of quadratic funding as a tool for equitable resource distribution within blockchain ecosystems. The overwhelming community participation, demonstrated by voting totaling 12.7 times the matching prize pool, affirms substantial grassroots confidence in Smart Chain projects. The geographic diversity of funded projects and the emphasis on NFT and DeFi innovations position Smart Chain as an increasingly attractive platform for developers worldwide. This successful first round establishes a replicable model for future funding initiatives, with subsequent rounds under preparation to continue supporting the growing ecosystem of blockchain innovation. The Smart Chain Grants program demonstrates that combining institutional support with authentic community participation creates a more effective, equitable, and sustainable approach to funding decentralized applications and infrastructure.

FAQ

What is BSC Financing? What are the advantages of financing on Binance Smart Chain?

BSC financing enables cryptocurrency lending on Binance Smart Chain. Key advantages include low transaction fees, fast transaction speeds, and cost efficiency compared to other blockchain networks, making it ideal for efficient capital operations.

How to launch token fundraising or ICO on BSC? What are the main steps and process?

Deploy smart contract on BSC network, create token with specified parameters, establish liquidity pool, conduct community building and marketing, then launch fundraising through whitelisting or public sale mechanisms.

What security risks and regulatory issues should be noted in BSC financing?

In BSC financing, pay attention to counterparty risk and compliance requirements. Ensure authorized institutions obtain approval from financial supervisors and comply with relevant regulatory policies and guidelines.

What are the common financing methods on BSC? What are the characteristics of IDO, IEO, private financing and others?

BSC common financing methods include IDO, IEO, and private sales. IDO offers low-cost token issuance with decentralized access. IEO provides semi-centralized listing with platform support. Private financing enables direct investor engagement with flexible terms. Each method suits different project scales and needs.