Cryptocurrency News

Andreessen Horowitz to launch a $1 billion crypto VC fund

  • Andreessen Horowitz wants to open another crypto VC fund
  • The firm wants to raise $1 billion to launch the VC fund
  • Andreessen Horowitz is a leading investor in several cryptocurrency and blockchain projects

The cryptocurrency market has been expanding over the past few months, with several financial institutions entering the space. However, the existing companies are also expanding their businesses as they look to attract more clients. Andreessen Horowitz is planning on launching another venture capitalist (VC) firm focused on cryptocurrencies.

Andreessen Horowitz planning to launch another crypto VC fund

Venture capitalist firm Andreessen Horowitz is reportedly planning on launching another cryptocurrency VC fund. The firm is one of the leading VC funds in the cryptocurrency space and is interested in opening another one.

According to a report by the Financial Times yesterday, Andreessen Horowitz wants to raise roughly $1 billion to establish the VC fund. The Financial Times wrote, “The new fund, Andreessen’s third that is focused on cryptocurrency investments, is aiming to raise between $800m and $1bn from investors, according to four people with knowledge of the process.”

Andreessen Horowitz is already a leading investor in several cryptocurrency and blockchain projects. As well, the firm operates a16z, another cryptocurrency venture capitalist fund. Admittedly, the rapid growth of the digital currency market over the past year is the reason Andreessen Horowitz is considering expanding its presence in the sector.

Andreessen Horowitz is a major player in the crypto space

The Venture Capitalist firm has invested in a wide range of crypto companies over the years. Certainly, one of its most successful investments was in Coinbase. This venture has become one of the leading crypto exchanges in the United States. Indeed, Coinbase went public last month and is now worth nearly $60 billion in terms of market cap.

Andreessen Horowitz has so far sold $120 million of its Coinbase stocks. However, the firm still holds over $10 billion of the Coinbase stocks. In fact, it is one of the largest investors in the cryptocurrency exchange.

The cryptocurrency market has seen a massive inflow of capital over the past year, with the total market cap surpassing $2 trillion for the first time last month.

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