Three days ago, the address marked as DWF Labs transferred 2 million USDC to the API3 project treasury in two installments.

Various signs indicate that DWF Labs purchased $2 million of#API3at a premium

API3 treasury address: 0x556ECbb0311D350491Ba0EC7E019c354D7723CE0

In fact, in March this year, the API3 community had a strategic round of financing proposal led by DWF Labs, including Spartan Group, Laser Digital, and Caladan (formerly AlphaLab).

Proposal link: https://forum.api3.org/t/strategic-treasury-diversification-round/2195

The proposal shows that this round of financing totaled 4 million US dollars, of which DWF Labs accounted for 2 million US dollars, and received a total of 1,423,500 API3s at a unit price of 2.808U. 50% will be released after 6 months of lock-up, and the remaining 50% will be released linearly over 6 months.

I looked at the price of#API3on ​​Binance, which is currently 2.72, lower than the cost price of DWF Labs.

I checked the data of Coingecko, and the total market value of infrastructure projects such as#API3is only 360 million, which is obviously underestimated. With a circulation volume of 87%, there is no need to worry about a huge amount of unlocking. This should also be the fundamental reason why DWF Labs is willing to buy#API3at a premium.

It has been said for some time that VCs and retail investors do not take over each other, because the cost of VCs is much lower than that of retail investors, and the project valuation is too high. However, buying#API3now is lower than the DWF cost price, and there is no lock-up, all spot, and the current market value is also in the undervalued range.

So, will this be a new Alpha password?