According to Bloomberg, billionaire Michael Novogratz's Galaxy Asset Management has raised $113 million for a venture fund aimed at early-stage firms in the cryptocurrency sector. The Galaxy Ventures Fund I LP plans to build a portfolio of approximately 30 investments, having already allocated funds to projects like Ethena, Monad, and Plume. The fund aims to continue fundraising until it reaches its $150 million target by next year.
This development signifies a resurgence in venture capital investments in cryptocurrency, with other firms such as Pantera Capital and Paradigm also raising new funds. The renewed investor interest comes as Bitcoin reached a new all-time high of nearly $74,000 in mid-March, indicating heightened market enthusiasm.
Galaxy Ventures has historically invested between $30 million and $50 million annually in various crypto firms, focusing on infrastructure, decentralized banking, and payments. Last year, the company transitioned to its asset management business and launched Galaxy Ventures Fund I, which is open to external investors.
In a notable event for the cryptocurrency industry, eight new spot-Ether exchange-traded funds (ETFs) were launched in the United States on Tuesday. Additionally, the Grayscale Ethereum Trust, the largest for Ethereum with $8 billion in assets, transitioned from a closed-end structure to an ETF after more than six years. However, Ethereum experienced