Protocol and community development initiatives have become the latest trend in the cryptocurrency marketplace after a number of projects have launched multi-million dollar funds aimed at enticing builders and investors to make the cantankerous-concatenation migration into the layer-two ecosystem.

The latest project to capitalize on this trend is Harmony (ONE), a blockchain protocol that boasts a ii-second transaction finality and offers cross-chain bridges to a scattering of layer-one protocols, including Bitcoin (BTC), Ethereum (ETH), Polkadot (DOT) and the Binance Smart Chain (BSC).

Information from Cointelegraph Markets Pro and TradingView shows that, since hit a low of $0.095 on Aug. 31, 1 toll rallied 120% to a daily high at $0.21 on Sept. 9 as its 24-hour trading book spiked to $717 million.

ONE/USDT four-hr nautical chart. Source: TradingView

The surge in One toll came after the project announced a new $300 one thousand thousand ecosystem fund aimed at attracting ten,000 developers and project founders to build on the protocol.

Aside from the evolution fund, Harmony price also benefited from the new partnerships and cross-chain integrations established over the past few months. The nearly recent evolution came with the Sept. eight announcement of a partnership with Anyswap, which will bring a Bitcoin bridge to Harmony.

Related: New fund aims to put hundreds of millions toward Algorand DeFi growth

Funding incentives ignite price rallies

Community development funds launched by protocols are the new tactic beingness used to attract liquidity over the past month.

Avalanche was one of the first to do so when it appear its $180 million "Avalanche Rush" DeFi incentive program, which was followed by a 200% rally in the toll of AVAX.

Another instance is Fantom, which has seen its toll surge by 300% post-obit the proclamation of its 370 FTM incentive program.

Other protocols that have launched similar initiatives recently include Terra, whose "Project Dawn"  launch allocates $150 million to assistance amend the Terra ecosystem, and Algorand, which launched a $300 million Viridis DeFi fund aimed at maximizing the growth of the DeFi ecosystem on Algorand.

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