{"id":30889,"date":"2024-04-04T10:56:27","date_gmt":"2024-04-04T10:56:27","guid":{"rendered":"https:\/\/icoinmarket.com\/galaxy-digital-backs-crypto-with-100-million-fund\/"},"modified":"2024-04-04T10:56:27","modified_gmt":"2024-04-04T10:56:27","slug":"galaxy-digital-backs-crypto-with-100-million-fund","status":"publish","type":"post","link":"https:\/\/icoinmarket.com\/galaxy-digital-backs-crypto-with-100-million-fund\/","title":{"rendered":"Galaxy Digital Backs Crypto with $100 Million Fund"},"content":{"rendered":"


\n<\/p>\n

\n

Galaxy Digital, a leader in the cryptocurrency sector, is expanding its investment scope with a recently announced $100 million fund. This venture aims to empower promising early-stage crypto startups.<\/p>\n

The move builds on Galaxy\u2019s existing involvement in the crypto ecosystem, which previously relied on internal capital for company investments.<\/p>\n

Galaxy Digital\u2019s Latest Fund to Fuel Crypto Ecosystem Growth<\/h2>\n

Known as the Galaxy Ventures Fund I, LP, the fund anticipates backing up to 30 startups within the next three years. Investments will begin at $1 million, centering on financial applications, software infrastructure, and crypto protocols.<\/p>\n

Galaxy Digital has a solid history of investing in crypto companies, claiming to have invested $200 million in over 100 projects in the past six years. This fund, however, signifies a shift for its venture team, marking the first time they\u2019ll engage with outside investors. The company aims to replicate the success of its balance sheet investing through an institutional-grade fund.<\/p>\n

Read more: How To Fund Innovation: A Guide to Web3 Grants<\/p>\n

\n

\u201cFor years, we\u2019ve been putting our own capital behind these innovators. Now we\u2019re launching Galaxy Ventures Fund I LP to partner with outside investors, allowing us to continue fueling the digital asset ecosystem by backing promising early-stage companies,\u201d the company said in a statement.<\/p>\n<\/blockquote>\n

Galaxy Digital\u2019s ambitious fund launch highlights renewed interest within the venture capital sector. Earlier this year, Marc Andreessen, Accolade Partners, and Galaxy Digital collaborated on a $75 million fund with the 1kx network. Meanwhile, Paradigm is reportedly raising between $750 million and $850 million, and Hack VC aims to raise a minimum of $100 million.<\/p>\n

This resurgence aligns with research released by Galaxy Digital itself in January 2024. The company\u2019s report outlined how venture fundraising strategies correlate with heightened crypto demand.<\/p>\n

Institutional interest tends to wane as valuations decrease, posing challenges for crypto venture fundraising. This was evident throughout 2023 as passive investment products dominated the market.<\/p>\n