Bringing you live news and features since 2006 

Frank Spiteri, CoinShares

Unprecedented venture capital money is going into the crypto space says CoinShares

RELATED TOPICS​

Bitcoin was back in the spotlight last week with its largest single day gain in six weeks, after (apparently false) rumours were spread of crypto payment acceptance from Amazon by the end of the year, says CoinShares’ chief revenue officer, Frank Spiteri.  

“But below the surface of single coin price movements, unprecedented VC money is being invested in this space,” Spiteri writes.

Institutions are turning to long term investments in crypto companies, according to Spiteri, with the largest funding round by a crypto firm last week with crypto exchange FTX raising USD900 million.

The second quarter saw a record USD4.4 billion in venture capital raised by blockchain firms and out of the record USD70.4 billion invested by VC firms in Q2 globally, venture capital raised by blockchain firms represented 6.25 per cent of the total, Spiteri says.

CoinShares’ Head of Research, Chris Bendiksen says: “VC inflows into challenger industries is often seen as ‘smart money’ positioning on the expectation of longer term thematic developments. The recent record levels of raises into crypto companies and protocols signals a healthy and increasing appetite for secular exposure to an area of expected growth. We see this as another sign of positive, yet less considered, development taking place in the industry as a whole, and further indication that the bull market may still not be quite over.” 

CoinShares has published the following list of the most noteworthy raises in Q2:

Derivatives exchange FTX – USD900 million
Hardware wallet Ledger – USD380 million
DeFi blockchain Solana – USD314 million
Paxos – USD300 million
Bitso – USD250 million
BitDAO – USD230 million

The firm says that it’s not just traditional investors who are participating either. “Visa and PayPal joined a USD300 Million fund raised by Blockchain Capital and, rather surprisingly, Fox Entertainment invested USD100 million into an NFT project.

“We expect this trend to grow as VC firms continue to raise more and more for blockchain themed funds, with Andreessen Horowitz having just raised an impressive USD2.2 billion for its third crypto fund,” CoinShares concludes.
 

Latest News

Saving and investing app, Moneybox, has doubled the number of ETFs available on the platform, in the light of ‘growing..
Global X ETFs has announced the appointment of Ryan O'Connor as its Chief Executive Officer effective as of April 8, 2024. ..
Value-driven structured credit investing firm, Angel Oak Capital Advisors, LLC, has announced the completed conversions of two of its mutual..
Confidence in the continuing strength of bitcoin and Ethereum is driving wider interest in altcoins and other digital assets, according..

Related Articles

Graham MacKenzie, Toronto Stock Exchange
The evolution of ETFs has been a multi-decade experience for Toronto Stock Exchange says Graham MacKenzie, managing director, Exchange Traded...
Frank Koudelka, State Street Global Services
ETF data provider and ETF Express data partner, Trackinsight, has published its Global ETF Survey 2024 Report: ‘50+ Charts on...
Cryptocurrencies
Matteo Greco, Research Analyst at Fineqia International writes that bitcoin (BTC) ended the week at approximately USD52,150, showing a notable...
US Distribution Awards trophies
The winners of the first US ETF Distribution Awards at the Exchange conference, hosted by ETF Express and sponsored by...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by