Blockchain Founders Fund, a venture capital fund that supports the adoption of Web 3.0 and blockchain technology, has announced the closing of a round of financing of USD 75 million from companies such as Polygon, Ripple, Octava, NEO Global Capital, Appworks , GSR, LD Capital, Metavest Capital and others, such as Sebastien Borget, COO of The Sandbox.
According to the announcement, The fund will focus on supporting high-potential pre-seed and seed phase projects that foster mass adoption of Web 3.0 and blockchain technology. The fund has already invested in more than 100 startups, including Altered State Machine, Splinterlands, GRID, Krayon and Magna.
In an interview with Cointelegraph, Michiko Yuda, Blockchain Founders Fund Marketing Coordinator, shared that the venture capital fund will potentially spread to more than 200 companies over the next 12 months.
Regarding the requirements and ways in which Web 3.0 startups can apply for funding to the Blockchain Founders Fund, ANDuda explained that he will focus on early-stage Web3 companies with strong teams and a proven ability to execute on their vision. In addition, projects must offer products or services that solve real market needs and offer clear pathways for revenue generation or monetization over time. Projects must also have a clear and viable business plan that demonstrates a solid understanding of the target market and competitive landscape.
Talking about some of the major challenges in the VC landscape in the cryptocurrency space and how the Blockchain Founders Fund is helping to address them, Yuda shared: “There is a high level of competition for deals in the space, regulatory uncertainty, as well as a limited track record of successful projects. To address these challenges, we focus on making investments in high-quality startups that have strong fundamentals and show signs of solid leadership”.
Yuda also told Cointelegraph that the Blockchain Founders Fund takes a team-centric approach when evaluating investments to ensure that only well-trained teams are chosen for funding. He added:
“We take the necessary precautions to navigate regulatory uncertainty by staying abreast of emerging trends in blockchain governance as they continue to evolve over time. Lastly, we leverage our connections in the industry, including major institutions and investors in the room to help our portfolio companies succeed.
On February 24, Cointelegraph covered a story describing a pullback in VC spending by investors in Q4 2022. But despite this setback, investors are still looking to fund blockchain-based technologies, applications, and startups.
The note also suggests that VC investments are shifting toward “non-volatile innovations,” including cross-chain bridging, payments and remittances, lending, decentralized autonomous organizations, asset management, and digital identity management.
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