4 months ago
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In the past, Galaxy Ventures invested between $30 million and $50 million of the firm’s money into various crypto startups.
Galaxy Asset Management recently secured $113 million for its venture outfit Galaxy Ventures Fund I LP. Markedly, this unit of the Michael Novogratz-led company is focused on pushing funds into early-stage startups that are focused on crypto software, infrastructure, and financial applications. Its goal is to own a portfolio with approximately 39 investments.
In the meantime, it has some of the fast-rising projects on its portfolio including Ethena, Monad, and Plume. At one point or the other, these projects were beneficiaries of the Galaxy Ventures Fund I LP. According to a statement from the New York-based firm, the fund plans to keep raising funds and even reach a $150 million target next year at the latest.
Galaxy Ventures to Support Crypto Projects
In the past, Galaxy Ventures invested between $30 million and $50 million of the firm’s money into various crypto startups. However, the firm decided recently to infuse the group into its asset management division. This eventually led to the birth of Galaxy Ventures Fund I which is now open to external investors.
“Our macro views is blockchains will be utilized to settle the majority of transactions,” General Partner Mike Giampapa said in an interview. “It’s a one-, two-decade transition that we are betting on.”
Will Nuelle, another general partner for the fund stated that it expects to invest between $3 million and $5 million per project. He also made it clear that the amount may vary. The fund is significant to the broad crypto industry as it underscores a reawakening amongst venture capital firms to invest in promising crypto firms.
Other companies like Pantera Capital and Paradigm are equally raising new funds. Precisely, crypto hedge fund Pantera is eyeing up to $1 billion out of which it plans to allocate $200 million to its Artificial Intelligence (AI) ventures. Pantera Capital’s Portfolio Manager Cosmo Jiang hinted at an earlier fund that injected about 15% to 20% of the entire capital into an AI-linked blockchain project.
Out of the huge potential $1 billion fund, Jiang believes $200 million is more appropriate for AI-related blockchain projects within the next ten years.
Venture Capital Firms Contribute to Fundraisers
In March, Paradigm indicated interest in contributing $150 million to Monad Labs’ $200 million fundraising, intended to raise its valuation to a staggering $3 billion. As the lead for the funding round, Paradigm stands as one of the preeminent venture capital firms within the crypto realm. Many other firms are currently in the middle of raising funds.
Last week, Satoshi Protocol, the first Collateralized Debt Position (CDP) engine built on the Bitcoin network, announced the completion of its seed funding round. This was led by two major venture capital (VC) firms in the industry CMS Holdings and RockTree Capital. Other VCs that participated are Cypher Capital, Metalpha, Optic Capital, Side Door Ventures, and Outliers Fund.
