Blockchain Founders Fund Raises $75 Million to Encourage Mass Adoption of Web3
Blockchain Founders Fund, a venture capital fund supporting the adoption of Web3 and blockchain technology, has announced the closing of a $75 million fundraising round from companies such as Polygon, Ripple, Octava, NEO Global Capital, Appworks, GSR, LD Capital, Metavest Capital and others , for example Sebastien Borget, operations manager at The Sandbox.
According to the announcement, the fund will focus on supporting high-potential early-stage pre-seed and seed projects that encourage mass adoption of Web3 and blockchain technology. The fund has already invested in over 100 startups, including Altered State Machine, Splinterlands, GRID, Krayon and Magna.
In an interview with Cointelegraph, Aly Madhavji, managing partner of Blockchain Founders Fund, shared that the venture capital fund will potentially be spread across more than 200 companies in the next 12 months.
Talking about the requirements and ways Web3 startups can seek funding from the Blockchain Founders Fund, Madhavji shared that it will focus on early-stage Web3 companies with strong teams and a demonstrated ability to execute on their vision. In addition, the projects must offer products or services that solve real market needs and offer clear paths for income generation or income generation over time. The projects must also have a clear, viable business plan that demonstrates a solid understanding of the target market and the competitive landscape.
Madhavji discussed some of the major challenges in the crypto-venture capitalist landscape and how the Blockchain Founders Fund is helping to address them: “There is a high level of competition for deals in the space, regulatory uncertainty, as well as a limited footprint. overview of successful projects. To meet these challenges, we focus on making investments in high-quality startups that have strong fundamentals and show solid indications of traction.”
Madhavji also told Cointelegraph that the Blockchain Founders Fund takes a team-centric approach when evaluating investments to ensure that only well-rounded teams are selected for funding. He added:
“We take the necessary precautions to navigate regulatory uncertainty by staying abreast of new trends in blockchain governance as they continue to evolve over time. Finally, we leverage our industry connections, including leading institutions and investors in the space to help our portfolio companies to succeed.”
Related: Angel Investors Vs. venture capitalists
On February 24, Cointelegraph covered a report that described a pullback in venture capital spending from investors in Q4 2022. But despite the pullback, investors are still looking to bankroll blockchain-based technologies, applications, and startups.
The report also suggests that venture capital investment is shifting towards “non-volatile innovations”, including cross-chain bridging, payments and remittances, lending, decentralized autonomous organizations, asset management and digital identity management.
