On February 17, the enterprise capital agency Sequoia Capital introduced the launch of a brand new $500 million to $600 million sub-fund devoted to “liquid tokens and digital property.” The corporate famous throughout its announcement that the brand new fund highlights Sequoia’s strategic “dedication to crypto.”
Enterprise Agency Sequoia Capital to Launch a Fund Targeted on Liquid Tokens and Digital Belongings
The American enterprise capital agency headquartered in Menlo Park, California, Sequoia Capital is beginning a fund that shall be centered on investing in crypto property. In a weblog submit dubbed “A Block Step Ahead,” Sequoia says the brand new liquid token fund “enhances” the agency’s ongoing crypto investing. Sequoia’s announcement additional mentioned prior partnerships with crypto movers and shakers like FTX CEO Sam Bankman-Fried and Michael Shaulov the co-founder of Fireblocks.
The enterprise capital agency additionally talked about blockchains like Ethereum, Solana, and “main” decentralized finance (defi) protocols. Whereas investing in these applied sciences, Sequoia talked about studying an important deal alongside the way in which. “As we speak, we’re doing simply that with a brand new $500–600M sub fund centered totally on liquid tokens and digital property,” the weblog submit revealed on Thursday notes. Sequoia Capital continued:
Sequoia Crypto Fund enhances our broader dedication to crypto. Our objective with this fund is to take part extra actively in protocols, higher help token-only tasks, and be taught by doing ourselves. We stay dedicated to working collaboratively with the crypto neighborhood, together with offering ongoing help for open-source analysis.
Enterprise capital geared toward blockchain protocols, crypto property, and up-and-coming blockchain startups grew exponentially final 12 months. In reality, total enterprise capital (VC) investments in 2021 broke information at $621 billion. Final 12 months’s enterprise capital, funds that have been primarily centered on crypto tokens and blockchain know-how companies, represented 5.28% of 2021’s mixture VC investments with $32.8 billion.
Whereas the Sequoia Crypto Fund will deploy $500 million to $600 million towards “liquid tokens and digital property,” Sequoia says it additionally plans to proceed partnering with crypto groups throughout the business. Throughout the first week of February 2022, Sequoia Capital India led the $450 million funding spherical in Polygon. Sequoia is taken into account one of many 20 prime enterprise buyers in blockchain and crypto. The California firm has investments in Metastable, Polychain, Binance, Huobi, Polygon, Orchid Labs, and String Labs.
What do you consider Sequoia Capital saying the launch of a brand new $500 million to $600 million sub-fund devoted to cryptocurrencies? Tell us what you consider this topic within the feedback part under.
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