Crypto venture capital giant Multicoin Capital stands strong despite the market slump. With its latest fund, the $430 million Venture Fund III for crypto startups the company has made its intention clear.
The fund will nourish capital for early-stage and later-stage projects focused on data-aggregating decentralized autonomous organizations (DAOs), open finance, consumer social opportunities, and Web3 infrastructure among other initiatives. Early-stage projects can anticipate receiving between $500,000 and $25 million from a combination of funds originating from Venture Fund III and Multicoin’s evergreen liquid fund, which holds assets in the single-digit billions. Later-stage projects are qualified for up to $100 million in capital from a combination of the exact two funds.
Multicoin Capital Managing Partner Kyle Samani conveys that the numbers aren’t set in stone, and some projects may be eligible to acquire greater sums of capital from the firm. Samani reveals that the company won’t have a strict rule like ‘$25 million max’ for this size deal or so.
Multicoin Capital, which was founded in 2017, has historically financed tech and infrastructure investments. For instance, the firm led a $3.5 million seed-funding round in 2019 with Intel Capital for blockchain data startup dfuse’s line of products geared toward simplifying blockchain data.
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Multicoin will keep Investing funds in a Bear Market
Although the recent market downturn has troubled a wide range of investors, Multicoin’s leadership plans to continue investing its money into a wide range of projects.
Kyle Samani adds that they will continue to invest at a rapid pace, issuing, on average, probably one term sheet per week or more for a long time like over a year, and also emphasized there is no change in the foreseeable future and will invest across market cycles and also when they find assets that are very exciting they will buy them and then hold them forever.
Multicoin’s Venture Fund III announcement comes just days after the investment firm was named in a class-action lawsuit indicting Multicoin and other key players in the Solana ecosystem of illegally benefiting from SOL, which the suit alleges is unregistered security.
Nevertheless, the firm is looking to expand its investments in consumer-facing projects.
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