The new investment vehicle will focus on early stage ideas as well as more mature projects that have already shown some appeal.

While the crypto markets seem to be on a long and arduous journey due to the token turmoil over the past few weeks, VCs looking to get their hands on the future of Web3 are not slowing down.

On Wednesday, venture capital giant a16z announced the closing of its fourth $4.5 billion cryptocurrency fund. Thus, the total amount of money invested by Andreessen Horowitz in digital currencies and blockchain business exceeds $7.6 billion.

The new investment vehicle will focus on early stage ideas as well as more mature projects that have already shown some appeal. According to the company, $1.5 billion of funding will be used for seed investments, while $3 billion is earmarked for venture capital investments.

Despite the current market in the city center, the company is optimistic about new prospects. Marc Andreessen, co-founder of a16z, commented that cryptocurrencies are still in an “early stage”, adding that the market has a lot of upside potential.

A fourth crypto fund has been in development for some time now; Cointelegraph first reported on this in January. It doubles the size of the previous crypto fund and shows the growing interest of the firm’s partners in increasing their participation in crypto firms.

The new funding comes less than a year after Andreessen Horowitz announced the launch of his $2.2 billion Crypto Fund III. Over the past few months, the dominance of A16z has created waves in the crypto industry, with several crypto companies such as Paradigm and Electric Capital raising huge sums of money to fight it.

Related: $3B poured into Metaverse and Web3 games this month as A16z raises $600M

Previously known for its investments in Instagram and Slack, the company first entered the crypto space in 2013 with an investment in Coinbase. Since then, he has backed a number of crypto companies including Polychain Capital, OpenSea, Solana (SOL), Avalanche (AVAX) and Yuga Laboratories.

Source: CoinTelegraph

LEAVE A REPLY