Bitcoin started as a DeFi coin. But Ethereum changed that by creating a layer 2. Where new projects started deploying, which is where the VC venture investment into crypto startup started. And then cat got out of the bag. Each new game and the project makes use of the crypto venture capital firm funding now.
As the world changed towards the centralization and the embeding the blockchain into the govt work and the variety of the market work. We realized how the crypto startups and the exchanges have built the economy around the altcoins, Defi and the exchange work.
All of this now a days require the crypto startups some funding to get started on the initial run. And this is only possible when you are getting the funds in the larger numbers and this is where the venture capital firms come into the picture.
Let's talk about variety of the crypto venture capital firms and how they are funding the crypto startups around the world.
Venture Capital Funded GameFi Startups
I have been tracking these gameFi startups a lot. I have noticed Gala, Animoca Brands, Saga, and variety of the game publishing company which have grown through the venture capital funds and slowly they have become funded into the venture capital firms themselves. So this is a new scenario where the big companies do invest into the indie gaming scene in the blockchain gaming portfolio.
GameFi world is making a lot of money due to the digital assets and the venture capital firms are assured that it would earn them their investment in the shorter span. So the future of the gaming is the system where the digital content would be gated and people would be paying for it.
You can find out the investors in this space in the table here.
FinTech Venture Funding in the Crypto Startups
Some of the financial tech companies are not your exchange or the Defi. But some are coming out as an alternative to existing launched products like say authentication apps, dApps and variety of the products which are trying to compete with the firms of different crypto market segments. They benefit from the crypto funding too.
Most of the crypto fintech venture capital firms are regulated and this is a risky space. So those who don't have the govt and the regulation space connection should not invest into this space. And it's reasonable to say that crypto startups in this space can make a difference if they push the market adoption. Still a risky space to be in.
You can explore the Fintech crypto venture capital firms in this table.
Who is in the cypto venture capital space?
Current top company is Coinbase ventures, which has largest portfolio and then there are some of the others which follow suit. Like in past FTX's alameada research had 179 startups under their belt and now they collapsed into different shell companies.
a16z is another that I can remember that has acquired a lot. Also I remember Justin sun being active in this space before he ventured into being an ambessador of some of the nations colony and so we see many new investors behind shell companies that are now acting like an investor in the crypto venture capital firm.
You can check who is who and where venture capitalist firms are investing in the table here.
Decentralization has been in the decline and now the developers are choosing the route of the centralized projects and they are taking the help of the crypto venture capital firms. In near future we may see maximum of such projects choosing the route in regulated crypto venture capital firms which would build most of the startups in near future.