New Zealand has the first Web3-focused cryptocurrency fund

New Zealand has the first Web3-focused cryptocurrency fund

In recent months, there has been a spate of venture capital firms spending millions of dollars on technology development in crypto, blockchain and the Web 3 space. More recently, Dragonfly Capital, an investment firm focused on cryptocurrencies, closed its third fund with $650 million in excess. Earlier this year, Electric Capital raised $1 billion to support cryptocurrency startups and buy tokens; Inflection has raised $40 million for its second cryptocurrency-focused early-stage fund; And Hack VC has raised a $200 million crypto seed fund.

In comparison, the recently launched $5 million Web 3/Crypto Fund by New Zealand-based VC Global from day one (GD1) may seem like a small potato. However, the GD1 Crypto Fund 1 is notable for being the country’s first dedicated fund in the sector, which could be a winning space for New Zealand startups and local investors alike.

New Zealand startups are emerging as major players in all aspects of the web3 space from Easy Crypto to cryptocurrencies, Veve and a company that manufactures and sells NFTs for businesses and just signed a contract with a cryptocurrency giant . Marvel Comics. , in Fluf World, a metaspace made up of 3D animated rabbits with their own personalities. These startups and the like largely support foreign investment, but GD1 wants New Zealand investors to have access to what it sees as the “future of the internet,” according to investor Nawaz Ahmed. Veteran. Who has just joined GD1 as a general partner of this fund.

“This is a missed opportunity for New Zealand-based foundations, and we want to be the first to explore it,” said Navaz.

This means that the GD1 Crypto Fund 1 serves not only to boost startups in New Zealand, but also to enable local investors to connect with offshore startups in the hope that some of the returns will return to the new business ecosystem. Zealand. † The fund mainly consists of local angel investors and family offices, as well as some limited international partners and institutions.

“The aim of the fund is to support the local ecosystem while investing in great opportunities abroad and giving our LPs the best opportunities in the world,” said Navaz.

Ahmed said the fund will invest $100,000 to $200,000 in pre-established Series A 25 to 30 companies in decentralized finance, decentralized autonomous organizations, NFTs, web3 and crypto infrastructure.

GD1 has already invested in two companies in the fund’s portfolio, including a New Zealand company, Ahmed said. The fund’s first close is scheduled for June and GD1 expects an additional subscription, with prior commitment from international LPs with good experience in internet investing, the company said. The final closure is scheduled for August.