Galaxy Digital, a cryptocurrency venture capital firm, is in talks with third parties to launch its first cooperative crypto investment fund. The fund, called Galaxy Ventures Fund I, LP, will focus on crypto projects still in their early stages and is seeking to raise and allocate $100 million to 30 startups over the next three years.
Galaxy Digital to Debut $100 Million Crypto Fund Initiative
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Galaxy Digital in Talks to Raise $100 Million for New Crypto Fund
The cryptocurrency venture capital field is starting to see significant moves. Galaxy Digital, a venture capital company that has invested over $200 million in cryptocurrency projects, is in talks with third parties to launch a new cryptocurrency investment fund. The initiative would be the first time Galaxy Digital invests customer funds, after being invested in the space for years.
The fund, called Galaxy Ventures Fund I, LP, expects to raise $100 million to be put into crypto startups with products still in their early stages. The fund expects to pump these resources into 30 different companies in the next 3 years, with investments starting from $1 million, focusing on financial applications, software infrastructure, and protocols built on crypto.
Mike Wursthorn, Galaxy’s comms chief, emphasized the relevance of this new instrument for Galaxy Digital as an incubator in the crypto arena. He stated:
For years, we’ve been putting our own capital behind these innovators. Now we’re 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 ventures.
Nonetheless, Galaxy Digital is not stopping its solo crypto investments. Last month, the company invested an undisclosed amount in a $75 million crypto fund being put by 1kx. This fund will focus on crypto applications geared toward consumers and has already made 5 unidentified deals.
Galaxy Digital is part of a general return to crypto investing that many venture capital firms are currently experiencing. Paradigm, a venture firm hit by the FTX demise, is reportedly raising $750 million to launch a new crypto investment vehicle.
What do you think about Galaxy Digital’s new crypto fund? Tell us in the comments section below.
