Kraken Ventures, the investment arm of Kraken global crypto exchange, is on the brink of launching its second fund, aiming to secure a substantial $100 million.
This initiative comes merely two years after its inaugural fundraise of $65 million in December 2021.
The upcoming fund is primed to target budding entrepreneurs in the early stages of their ventures. However, it stands out as more than just an initial investment, as Brandon Gath, the managing partner of Kraken Ventures, highlights.
The fund’s purpose transcends one-time support, as Kraken is dedicated to nurturing businesses throughout their entire journey, from the inception of capital infusion to the moment of achieving an initial public offering (IPO). Gath’s words underscore this commitment:
“Kraken Ventures’ (KV) next fund will double down on our existing thesis and continue to support founders through their full journey from initial capital to IPO.”
Kraken Ventures Aims for Diverse Investments Kraken has already been a participant in “hundreds of early-stage investments,” according to Gath.
However, the launch of this new fund marks a significant milestone, given its substantial increase compared to the previous fund.
This growth is noteworthy in an era when the venture landscape for blockchain and crypto-driven projects has encountered certain challenges.
Despite these dynamics, Kraken Ventures is steadfast in its ambition to provide support to a multitude of startups through the fund.
Gath emphasizes that Kraken Ventures operates under the belief that smaller funds are more advantageous for entrepreneurs.
Data-backed evidence reveals that “small funds outperform large funds,” indicating the likelihood of Kraken supporting a wide array of projects with the fund, rather than opting for a handful of larger investments.
The history of Kraken Ventures reflects its commitment to backing innovative ventures. Reportedly, the venture has already funded a notable 32 companies, with a significant portion of these investments taking the form of Series A funding rounds.