A16z Launches $4.5 Billion Crypto Fund Focused on Web3 Opportunities

A16z, one of the crucial influential VC corporations within the crypto discipline, has introduced the launch of a brand new cryptocurrency fund to spend money on the event of Web3 startups. This fourth crypto fund from the agency, which can launch with a funds of $4.5 billion {dollars}, is ready to concentrate on a number of key fields within the crypto setting, together with blockchain video games and decentralized finance.

A16z Bets Big on Web3 and Crypto

A16z, one of the crucial lively VC corporations in crypto, has revealed it’s launching yet one more crypto funding fund. The new endeavor of the corporate, which could have $4.5 billion at its disposal, will concentrate on Web3 investments in corporations at any progress charge. This, based on the corporate, is a wager on blockchain as one of many necessary applied sciences of the long run.

A weblog put up written by Chris Dixon, a common companion at A16z and founder and chief of its crypto division, stated:

We assume we at the moment are getting into the golden period of Web3. Programmable blockchains are sufficiently superior, and a various vary of apps have reached tens of thousands and thousands of customers. More importantly, an enormous wave of world-class expertise has entered Web3 during the last yr.

With this capital, the funds invested by A16z within the crypto ecosystem go over the $7.6 billion mark.

Investment Objectives

A16z additionally defined how it’s allocating the funds. In the weblog put up, Dixon clarifies that $1.5 billion will likely be put in seed investments, for corporations which might be nonetheless within the preliminary levels of their progress, and must depend on traders to fund their operations. The different $3 billion will likely be put behind varied enterprise investments not but specified by the corporate.

The scope of A16z is giant, the agency stating its investments will embody totally different areas of the crypto neighborhood, together with “web3 video games, Defi, decentralized social media, self-sovereign identification, layer 1 and layer 2 infrastructure, bridges, DAOs, governance, NFT communities, privateness, creator monetization, regenerative finance, new purposes of ZK proofs, decentralized content material & story creation.”

The firm additionally introduced it’ll continue to grow its operational group to supply higher help to its portfolio corporations, together with analysis and engineering, safety, expertise and other people, authorized help, and advertising.

A16z has additionally been lively in different current investments involving crypto and tokenization. It just lately led an investment spherical in Flowcarbon, a carbon tokenization firm backed by Wework co-founder Adam Neumann.

What do you consider A16z’s new $4.5 billion crypto and Web3 fund? Tell us within the feedback part beneath.