Despite a recent decrease in venture investment dubbed as “crypto winter,” Polychain Capital, a prominent venture capital company in the cryptocurrency sector, was able to successfully secure almost $200 million in its first funding round for its fourth fund.
The corporation also disclosed personnel changes, including the termination of three members of the research team owing to changes in investment priorities. Although the first round of funding looks promising, Polychain plans to raise a total of about $400 million for the fourth fund, which is a little less than their initial goal.
A cryptocurrency investment company called Polychain Capital focuses on making investments in blockchain and decentralised protocol technology. Olaf Carlson-Wee, the first employee of Coinbase, founded Polychain Capital in 2016, a venture capital firm that only invests in cryptocurrencies and associated technology.
The company has invested a sizable amount in well-known blockchain startups and decentralised platforms including Uniswap and Yellow Card. In addition to conventional venture capital, it also runs a liquid token hedge fund, investing in and holding a range of digital tokens.
In order to support cryptocurrency firms in their early stages, venture capital firm CoinFund has successfully collected $158 million, surpassing its original $125 million goal thanks to unexpectedly significant demand.
CoinFund intends to target firms at the confluence of cryptocurrency and artificial intelligence while maintaining its focus on token investments, despite industry hurdles and a fall in other markets, such as the NFT market.
According to U.Today, financing from venture capital firms for companies involved in cryptocurrencies has fallen to its lowest level in two years, hitting $2.4 billion in Q1 2023. This is an 80% reduction from the record $12.3 billion during the same time in 2022.
