Crypto startups couldn’t be hotter as currencies push past all-time highs and investor appetite reaches mania for new projects. Crypto investment firms that have been investing in blockchain startups for years are not only beginning to see significant movement from their portfolio but are gaining renewed appetite from LPs after a lengthy crypto winter to make bigger, more audacious bets.
Austin-based Multicoin Capital has been around since 2017, investing in blockchain startups, cryptocurrencies, and tokens with a venture fund and separate hedge fund. Today, the firm announced the rise of its second venture fund as it aims to further capitalize on unbridled excitement in the crypto world. The new $100 million funds will help the company back new entrants in the space, including companies tackling Defi, digital collectibles, Web3, and crypto-enabled infrastructure.
Multicoin’s team says that it has already been investing out of this fund for several months. It seems the timing is more aligned with the promotion of three of the firm’s employees — Matt Shapiro, Mable Jiang, and John Robert Reed — to Partner status. The team is just 12 but is looking to expand as they build out their remote presence in other geographies. The firm’s previous bets include The Graph, Solana, Torus, StarkWare, and Arweave.