Praxis, a self-described “internet-native alliance”, has received a $525 million funding pledge to build a new city which promises a crypto-centered economy and fewer regulations for tech leaders.

In an Oct. 16 blog post, Praxis announced it has received $525 million to build the “first Network State” from a number of tech companies and angel investors, including crypto lending platform Arch Lending, Manifold Trading, and investment firm Global Emerging Markets Digital.

According to a Wall Street Journal report, GEM Digital provided the largest chunk of the funding. The firm pledged $500 million to Praxis’ city building project.

To access GEM Digital’s funding, Praxis has to provide GEM with crypto tokens representing future real-estate ownership. Praxis would need to list the crypto tokens on a public crypto exchange.

CEO and co-founder of Praxis, Dryden Brown, shared news of the funding on X. He stated that Praxis and its business partners have designed a “novel drawdown mechanism” for the development of new cities. The $525 million funding would be used for its first deployment.

“Seeing institutions like BlackRock commit to crypto, we designed a crypto mechanism for financing large scale projects using RWAs, in partnership with the largest new city development project in the Middle East, Global Emerging Markets & Arch Lending,” said Dryden.

Although the location of the new city has not been shared, Brown told the Journal he has been considering locations in Latin America and the Mediterranean regions for the city.