Long time no see fellow startupers!
The past few months have really been a rollercoaster for Web3 entrepreneurs. Market uncertainty and volatility have challenged even the most resilient Crypto enthusiasts. But don't lose hope! While some may be panicking and giving up on their fundraising journey, , slick and sneaky venture capitalists are seizing this opportunity to fill their bags and double down on their investments.
Despite a challenging 2023, the first quarter of 2024 has shown promising signs of recovery in Web3 venture funding. According to Crunchbase, Web3 startups raised nearly $1.9 billion in Q1 2024, marking a 58% increase from Q4 2023!
While still below the highs of 2021-22, this uptick indicates that the funding bull run is starting to gain momentum!
So here I am, urging to inform you which doors to knock on if you don't want to miss the train to Valhalla. Here’s a look at the top 15 most active crypto VC funds this year, each playing a crucial role in driving innovation and growth within the cryptocurrency and blockchain sectors.
1. a16z (Andreessen Horowitz)
Based in Menlo Park, California, a16z is a leading venture capital firm known for its broad investment portfolio across various technologies, including AI and gaming. The firm is renowned for its comprehensive support to startups, offering not just capital but also expertise and networking opportunities.
Focus: Broad tech investments including AI and gaming within the crypto space.
2024 Activity: Led a $75 million investment pool for the Speedrun 2024 Accelerator Program, supporting pre-seed gaming startups. Total investments in 2024 amount to approximately $250 million (Andreessen Horowitz) (Mobile Games Insider) (Multiplatform).
2. Pantera Capital
Pantera Capital, established in 2003, is one of the first U.S.-based Bitcoin investment firms. The firm operates globally, focusing exclusively on blockchain technology and digital assets, supporting projects from early to growth stages.
Focus: Blockchain technology, digital assets, and DeFi.
2024 Activity: Invested $50 million in the Series B funding round of Stafi Protocol, a decentralized staking platform. Total investments in 2024 are about $200 million (CoinLaunch) (Crowdcreate).
3. Coinbase Ventures
The venture arm of Coinbase, headquartered in San Francisco, focuses on strategic investments to drive the growth of the crypto ecosystem. Known for backing early-stage startups, Coinbase Ventures leverages its industry position to provide significant market advantages to its portfolio companies.
Focus: Strategic investments in blockchain and crypto startups to drive ecosystem growth.
2024 Activity: Invested $30 million in the Series A round for Parcl, a blockchain-based real estate platform. Total investments in 2024 are around $300 million (Pink Brains) (Crunchbase News).
4. Polychain Capital
Founded by Olaf Carlson-Wee, Polychain Capital is a San Francisco-based hedge fund that manages digital assets and invests in blockchain-based companies. The firm is noted for its aggressive yet well-researched investment strategy in the blockchain sector.
Focus: Blockchain-based companies and technologies, DeFi, and infrastructure.
2024 Activity: Led a $40 million Series C round for Aztec Network, a privacy-first layer 2 solution for Ethereum. Total investments in 2024 are approximately $180 million (CoinLaunch).
5. Galaxy Digital
Galaxy Digital operates out of New York, offering comprehensive digital asset management services. The firm is heavily involved in blockchain infrastructure, DeFi, and other innovative financial technologies, making significant contributions to the crypto industry's growth.
Focus: Digital assets, blockchain infrastructure, DeFi, and more.
2024 Activity: Invested $35 million in the Series B round for Axelar, a decentralized interoperability network. Total investments in 2024 are around $220 million (CoinLaunch).
6. Lightspeed Venture Partners
With a strong presence in Silicon Valley, Lightspeed Venture Partners is known for backing innovative companies from their early to late stages. The firm supports a diverse portfolio across several sectors, including blockchain technology.
Focus: Early to late-stage investments in blockchain technology and platforms.
2024 Activity: Led a $45 million Series A round for Space and Time, a decentralized data warehouse. Total investments in 2024 are about $190 million (Rock'n'Block).
7. Blockchain Capital
Based in San Francisco, Blockchain Capital is a pioneer in the crypto VC space. The firm focuses on tokenization and stablecoins, playing a crucial role in developing the blockchain ecosystem through its thoughtful investments.
Focus: Tokenization, stablecoins, and blockchain infrastructure.
2024 Activity: Invested $50 million in the Series B round for MoonPay, a leading crypto payments infrastructure. Total investments in 2024 are approximately $170 million (Crowdcreate).
8. Dragonfly Capital Partners
Dragonfly Capital operates globally with a focus on early-stage crypto startups. The firm aims to bridge the gap between traditional capital markets and blockchain technology, supporting transformative projects in the crypto space.
Focus: Early-stage crypto startups and blockchain technology.
2024 Activity: Led a $30 million Series A round for Rarible, a decentralized NFT marketplace. Total investments in 2024 are around $160 million (Crowdcreate).
9. Multicoin Capital
Based in Austin, Texas, Multicoin Capital is a thesis-driven investment firm managing both a hedge fund and multiple venture funds. The firm is dedicated to investing in cryptocurrency, blockchain, and tokens in private and public markets.
Focus: Crypto, blockchain, and tokens in private and public markets.
2024 Activity: Invested $25 million in the Series A round for Syndicate, a decentralized investment protocol. Total investments in 2024 are about $140 million (Startup Savant).
10. Draper Associates
Founded by Tim Draper, Draper Associates is a seed-stage venture fund based in Silicon Valley. The firm has a history of investing in industry-transforming companies and has shifted its focus to include blockchain-based startups.
Focus: Disruptive blockchain technologies and early-stage startups.
2024 Activity: Led a $20 million Series A round for Solana Pay, a decentralized payments protocol. Total investments in 2024 are around $130 million (Crowdcreate).
11. Digital Currency Group (DCG)
DCG, headquartered in New York, specializes in supporting blockchain companies from early-stage to established entities. The firm also operates key industry platforms like Coindesk and Genesis Trading, further embedding itself in the crypto ecosystem.
Focus: Early to established blockchain companies.
2024 Activity: Invested $50 million in the Series C round for Chainalysis, a blockchain data analysis platform. Total investments in 2024 are approximately $210 million (Crowdcreate).
12. Hashed
Hashed is a global early-stage investment firm based in Seoul, South Korea. The firm is committed to its role as a partner to its portfolio companies, fostering innovation and growth within the blockchain and Web3 sectors.
Focus: Blockchain and Web3 technologies, early-stage investments.
2024 Activity: Led a $40 million Series A round for Mysten Labs, a blockchain infrastructure company. Total investments in 2024 are about $150 million (Rock'n'Block).
13. Framework Ventures
Based in San Francisco, Framework Ventures is known for its collaborative approach with founders to build token-based networks. The firm focuses on DeFi and blockchain-based projects, providing both capital and strategic support.
Focus: DeFi and blockchain-based projects.
2024 Activity: Invested $35 million in the Series B round for 0x, a decentralized exchange protocol. Total investments in 2024 are around $170 million (Crowdcreate).
14. Shima Capital
Shima Capital, based in San Francisco, focuses on early-stage blockchain startups and disruptive technologies. The firm is dedicated to fostering innovation within the blockchain ecosystem.
Focus: Early-stage blockchain startups and disruptive technologies.
2024 Activity: Led a $30 million Series A round for Project Galaxy, a credential data network. Total investments in 2024 are approximately $140 million (Crowdcreate).
15. Morningstar Ventures
Headquartered in Dubai, Morningstar Ventures specializes in digital assets and blockchain technology. The firm aims to drive the adoption of blockchain technology through strategic investments and active involvement in building ventures.
Focus: Digital assets and blockchain technology.
2024 Activity: Invested $25 million in the Series B round for Star Atlas, a blockchain-based gaming metaverse. Total investments in 2024 are about $120 million (Rock'n'Block) (Crowdcreate).
These VC firms continue to play a pivotal role in driving innovation and growth within the cryptocurrency and blockchain sectors, ensuring the ongoing development of the digital asset ecosystem. However, these are just the top 15 among hundreds of funds that are waking up and now actively looking to invest in promising projects.
If you're a founder seeking quality and engaged VC funds for fundraising, a good place to start is InnMind's VC database. Right now the easiest unfair advantage you can get is to participate in our pitching sessions and get exposure to the most active funds in the industry.
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