Introduction
In a significant move, LongHash Ventures, a web3-focused investment firm and accelerator, has launched its second fund with $100 million to invest in pre-seed to Series A web3 infrastructure projects. This marks a substantial increase from their first fund of $15 million, which was launched in February 2021. According to Emma Cui, the CEO of LongHash Ventures, this new fund will be used to support sectors like decentralized finance (DeFi), NFTs, GameFi, and the metaverse.
The Need for a Larger Fund
The decision to launch this larger fund comes at a time when there has been a "massive influx of talent" from Web 2.0 to web3, Cui noted. This shift is not limited to Asia but also observed in the Western Hemisphere. LongHash Ventures sees an opportunity to invest in a wider range of projects and stages, expanding beyond their previous focus on pre-seed to seed rounds.
Investment Strategy
The $100 million fund will be invested in web3 infrastructure projects that support sectors like DeFi, NFTs, GameFi, and the metaverse. This investment strategy is aligned with the firm’s goal of supporting innovative projects that have the potential to transform the web3 landscape. To date, LongHash Ventures has backed over 60 crypto projects, including Polkadot, Astar, Acala, and Balancer.
LongHashX Accelerator Program
In addition to its investment arm, LongHashX, the accelerator program of LongHash Ventures, has partnered with more than 50 web3 projects globally that have raised over $150 million in the past four years. This partnership demonstrates the firm’s commitment to supporting early-stage projects and helping them grow.
Market Volatility
While there has been market volatility in recent months, Cui remains optimistic about the space. As a VC fund with a five- to seven-year horizon, LongHash Ventures is not sensitive to short-term drawdowns. In fact, Cui believes that the best time to invest is during the next three to five years.
Opportunities in a Bear Market
According to Cui, even though the market has gone through a bloodbath, every cycle brings more adoption. The bear market is an ideal time to look for gems and support them in the long run. This sentiment echoes the idea that markets are cyclical and that downturns often present opportunities for growth.
Conclusion
LongHash Ventures’ launch of its second fund with $100 million marks a significant milestone in the web3 investment landscape. With a focus on pre-seed to Series A web3 infrastructure projects, this fund has the potential to support innovative projects that have the power to transform the web3 ecosystem. As Cui noted, the best time to invest is during the next three to five years, and LongHash Ventures is well-positioned to take advantage of opportunities in a bear market.
About LongHash Ventures
LongHash Ventures is a web3-focused investment firm and accelerator that has backed over 60 crypto projects. With its launch of a new fund with $100 million, the firm is poised to continue its support for innovative web3 infrastructure projects. Led by CEO Emma Cui, LongHash Ventures is committed to helping early-stage projects grow and succeed.
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