Venture capital group Blockchain Capital has announced the closing of two new funds, worth $580 million, for investment in infrastructure, gaming, DeFi and consumer/social technologies.
The funds will act as Blockchain Capital’s sixth early-stage fund and its first “opportunity fund,” with the latter serving as an entry point for companies that have already secured major funding elsewhere.
We are pleased to share the closing of 2 new funds – our 6th early stage fund and 1st opportunity fund.
Together, they are worth $580 million and serve to reinforce our commitment to leading the global transition to decentralized, blockchain-based systems. ↓https://t.co/Vr2uYnGlF7
— Blockchain Capital (@blockchaincap) September 18, 2023
According to a press release from Blockchain Capital:
“The end game is to increase personal power by giving individuals control over their digital and financial lives through new applications and services powered by the blockchain. This vision of a democracy and distributed future that guides our motivation and investment decisions.”
The combined $580 million fund will be split into two funds with $380 million reportedly going to early-stage funding and the rest earmarked for opportunity funding. It is unclear at this time what types of projects the investment fund will prioritize.
According to the press release, the company will continue its trend of investing in infrastructure, DeFi, gaming, and other financial, blockchain, and cryptocurrency opportunities.
However, the press release also mentions that Blockchain Capital’s strategy “is not about sectors; It’s about using blockchain technology to realign incentives, re-establish user trust and reengineer the social contract in our increasingly digital world.”
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“In fact, the volatility of the crypto market over the past 20 months has revealed the dangers of short-term thinking, exposing many who have misjudged this new technology,” writes Blockchain Capital at the release, adding later that “in the past 20 months we have invested more capital into the next generation of innovators than at any time in our history.”
The latest funds closed are one of the largest in the history of cryptocurrency/blockchain and the largest accumulated by Blockchain Capital. However, this should not be interpreted as a signal that the company intends to continuously increase fund sizes.
Speaking to TechCrunch, one of the company’s partners, Spencer Bogart, said that they “have no intention of expanding and becoming an AI fund or a hedge fund and trading tokens,” adding that he does not see the future funds that “will be much larger than what. you see here.”
