Binance Raises $500 Million For Web3 Investments

Twitter icon  •  Published há 1 ano  •  Mark Weaden

Binance Labs announced today that it has raised $500 million for its debut start-up fund.

Binance’s venture arm, Binance Labs, announced today that it has raised $500 million for its debut start-up fund, with backing from venture capital firms DST Global and Breyer Captial, among various other corporations.

The company stands as the world's biggest cryptocurrency exchange, with some $490 billion of spot trading volumes in March of this year. Despite a turbulent time in the crypto market, Binance continues to look to the future of blockchain, now backed with more funds to pursue new technologies in the Web3 space. 

Binance’s Vision For Web3

Binance Labs has stated that it plans to invest in various companies involved in “Web3”. While it’s still difficult to know exactly what falls under the umbrella of Web3, it generally defines those industries that are associated with decentralized and blockchain platforms. 

The venture firm hopes to capitalize on the recent drop in the digital asset, investing in pre-seed, early-stage and growth equity, as well as the fund investing in tokens and shares. Binance Labs’ executive director of investments and M&A, Ken Li, spoke to CNBC and said

“We are looking for projects with the potential to drive the growth of the Web3 ecosystem,” Li said. 

The Web3 ecosystem includes things like NFTs (nonfungible tokens) and DAOs (decentralized autonomous organizations). Binance stated that between 300,000 and 500,000 people are actively working in the Web3 space, with hopes for it to grow “substantially”. 

One of the major doubts about investing in these Web3 projects is the fact all this technology is so early stage it comes with a lot of risks. However, with major financial institutions, such as Goldman Sachs, investing in crypto and blockchain technologies, there is certainly an investment trend growing.

Binance’s CEO Changpeng Zhao started early this year in an interview with CNBC that the company has “billions ready to invest” in Web3. Zhao gave his views on the future of Web3, stating “Exactly how it’s going to shape up, what exactly Web3 looks like, which company, which projects — nobody knows,” and “Before Facebook started, nobody could predict that,” he finished by saying “We’ll just have to see what turns out.” 

There is a belief in the growth and technology and with an increasing number of developers flocking to the space, one can expect things to accelerate for Web3 in the coming years. 

Author

Mark Weaden

Mark Weaden is a British researcher and crypto enthusiast, living in Barcelona. His work has been published on a variety of leading cryptocurrency sites.