A Major Venture Capital Firm is Considering Investing $900 Million in the Cryptocurrency Industry
Katie Haun, Andressen Horowitz’s general partner, has set a target of generating at least $900 million for many cryptocurrency investment funds, which will generate much discussion for the new venture capital firm, the Financial Times writes.
The $900 million will be split between two funds. The first fund would invest $300 million in bitcoin start-ups. Another portion of the cash raised will be utilised to invest in bigger firms or digital assets that have already established a market presence.
According to Financial Times sources, the new funds want to set lofty ambitions and aim to immediately meet substantial demand from affluent individual investors and other funds. Additionally, Haun intends to begin contacting financial institutions next week.
The proposed fundraising revamp would serve as a conduit for future capital inflows for early-stage market ventures. Since the beginning of 2021, the number of crypto start-ups has progressively expanded and continues to attract venture capitalists and individual investors prepared to take on further risk.
Other venture capital firms, headed by Matt Huang and Coinbase co-founder Fred Ehrsam, raised $2.5 billion in November for a bitcoin development fund. The fundraising event has been dubbed the biggest cryptocurrency fundraising event in history. Huang and Ehrsam launched their fund five months after Andreessen launched his $2.2 billion digital asset fund.
While Haun’s new venture will not be the industry’s biggest fund, it will nonetheless be one of the largest crypto-related funds on the market. The new business will be known as “KRH.”
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