RE: FT Article25 May 2022 23:32
However, the speculative boom has since soured, as recent interest rate rises prompted investors to flee the riskiest corners of global financial markets. The sell-off has hit crypto tokens such as bitcoin, as well as those providing the underlying infrastructure such as crypto exchanges and lenders.
Despite the so-called “crypto winter”, Chris Dixon, managing partner and founder of Andreessen’s crypto arm, said the group believed the space was reaching a new “golden era” in which “new talent, viable infrastructure, and community knowledge” would spur rapid innovation.
“We believe blockchains will power the next major computing cycle,” he said. “That’s why we’ve decided to go big.”
Web3 advocates such as Dixon typically seek to wield distributed ledger technology to allow users more control and ownership over their data. They also seek to disintermediate the Big Tech groups that monetise data as part of their ad-based business models — and which have typically been the recipients of VC funding in the past.
Dixon said the company was targeting start-ups of all stages in areas such as decentralised social media, and decentralised autonomous organisations, which aim to be governed by code. He also cited NFT communities, creator monetisation and decentralised finance, among others.
Recommended
Behind the Money podcast20 min listen
A crypto vibe shift?
The company can invest in companies as it would for regular start-ups, or invest in the tokens or coins that a particular project generates.
Addressing the bear market, Arianna Simpson, general partner at Andreessen, said: “What we’ve seen is that many of the best protocols and companies are actually built during periods of market instability or downturns. Because it really allows people to focus on the technology and building rather than being distracted by short-term price fluctuations.”
She added that the company was focused on “the five, 10-year horizon and beyond”.
Andreessen last week announced it had raised $600mn for the creation of its first gaming-focused fund, with an emphasis on investing in gaming apps, studios and infrastructure to support the building of a virtual world known as the metaverse.
Sign In
Follow the stocks
