Polychain Capital is urging users to stay away from the X account of its founder, Olaf Carlson-Wee, as it is posting phishing links.
Crypto Biz: Bidding war for SVB Capital, new crypto funds and Citi’s private blockchain
This week’s Crypto Biz explores SVB Capital bids, new funds from Blockchain Capital, the Hut 8-US Bitcoin merger and Citigroup’s private blockchain.
Crypto VC Firm Blockchain Capital Secures $580M For Expansion Of Investment Funds
Blockchain Capital, a venture capital company founded by Bart Stephens and Brad Stephens in 2013, has successfully closed two new funds, raising a total of $580 million.
The firm’s general partner, Spencer Bogart, confirmed the news to TechCrunch, stating that the funds consist of a sixth early-stage fund and the firm’s first “opportunity fund.”
Approximately two-thirds of the $580 million will be allocated to the early-stage fund, while the remaining one-third will be dedicated to the opportunity fund.
Blockchain Capital Raise For Two New Crypto Funds
Per the report, the sixth early-stage fund, valued at $380 million, will primarily focus on investing in newer companies and protocols during pre-seed and Series A funding rounds. On this matter, Spencer Bogart claimed:
It’s doing more of what we’ve been doing for the past decade. This is our bread and butter, and we wanted to stay aligned with LPs [and] think about prior fund sizes, but still grow a bit.
On the other hand, the $200 million opportunity fund will target late-stage investments starting from Series B and onward. This strategic allocation reflects the firm’s intention to continue supporting early-stage projects while also capitalizing on promising opportunities in the later stages of development.
The funds will be deployed across six sectors, namely decentralized finance, centralized finance, centralized infrastructure, decentralized infrastructure, gaming, and consumer/social.
According to TechCrunch, by concentrating on these sectors, Blockchain Capital aims to remain at the “forefront” of innovation within the blockchain ecosystem.
Blockchain Capital’s investor base consists of two categories: strategic limited partners (LPs) such as Visa and PayPal, and long-term committed capital from entities like university endowments, family offices, and sovereign wealth funds. Bogart further stated:
The strategic partners like Visa and PayPal are more limited because it’s more active. It’s not just an LP investment; they don’t care about returns as much, but want us to be the eyes and ears on the ground for who else they should work with.
Per the report, the opportunity fund will be utilized to invest in projects that the firm may have missed during its early funding rounds. This allows Blockchain Capital to participate in the growth and development of these projects, even if it had not been involved from the outset.
Bogart emphasized that Blockchain Capital now takes a leading role in “most” of the funding rounds it participates in, committing over 50% of the funding while also influencing pricing, writing the term sheet, and securing board seats.
Looking ahead, Blockchain Capital intends to continue investing in blockchain-based startups with a long-term vision, staying true to its core focus over the past decade. The firm remains committed to its niche within the blockchain industry and has no plans to diversify into other sectors or investment strategies.
Featured image from iStock, chart from TradingView.com
Blockchain Capital closes funds totaling $580M for investments in crypto gaming, DeFi
The funds include $380 million for early-stage investments and a $200 million dollar “opportunity fund.”
Crypto VC Firm Blockchain Capital Raises $580M for 2 New Funds
Most of the firm’s limited partners are traditional institutional investors, including university endowments, private foundations, financial institutions, sovereign wealth funds and U.S. pension plans.
Blockchain Capital’s X account hacked promoting token claim scam
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Blockchain Capital secures $300M funding from PayPal, Visa
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Investment Firm Blockchain Capital Joins Libra Association
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Blockchain Capital
Founded in 2013 by Bart Stephens, Bradford Stephens and Brock Pierce, Blockchain Capital is one of the oldest venture capital firms in the blockchain industry. General Partner Spencer Bogart joined the firm in 2017. Formerly known as Crypto Currency Partners, Blockchain Capital has invested in over 55 equities and tokens, including Abra, Kin, 0x, LedgerX, Ripple […]
BitGo Co-Founder and Facebook Alum Joins Blockchain Capital
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BitGo Adds Custody Support for Blockchain Capital’s Security Token
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Decentralized or Nothing: Song Slams IBM Over Blockchain Hype at SXSW
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