The volume of funds raised by the venture capital firm Pantera Capital in the fourth fund aimed at investing in crypto startups reached $600 million. Institutional investors provided 75% of this amount, writes The Information.
Thus, the high level of participation of institutional investors contrasts with the launch of previous structures. Which are funded by representatives of the venture capital industry.
According to sources, Pantera Capital expects the growth of funds raised in the fourth fund to $1 billion by March 2022. As of the end of October, the firm managed $6.4 billion.
Competitors’ funds: Paradigm
Recall that earlier, competitor Paradigm announced the launch of a new venture fund in the amount of $2.5 billion. “The fund and its scale are symptomatic of crypto being the most exciting future in technology”. Paradigm co-founders Fred Ahrsam and Matt Huang said in a Nov. 15 release.
According to the press release, digital assets have come a long way over the past decade. But they are still used by less than 10% of the world’s population. The size of the fund exceeded the expectations of the media. Which predicted its volume from $1.25 to $1.5 billion in October.
“The journey is just beginning, the potential of cryptocurrency has never been so clear,” the message says. Furthermore, the new venture fund will focus on various segments of the Bitcoin (BTC) business.
In June, another venture capital company Andreessen Horowitz (a16z) formed a third crypto fund with assets of $2.2 billion. In the blog, representatives of a16z noted the revolutionary potential of blockchain and cryptocurrencies, their ability to change all aspects of human life.
a16z is confident that the new technology will restore trust and create a new type of management based on collective decision-making. The fund is financing startups at all stages of development.
The foundation’s team of experts in the field of marketing, public relations, politics, regulation will contribute to the popularization of cryptocurrencies. a16z believes that digital assets are still at an early stage of development.