Vessel Capital, a venture capital firm, has announced the creation of its $55 million crypto fund.
The firm will use its new fund to invest in different crypto projects and web3 infrastructure, according to TechCrunch. The main aim of the fund is to help crypto projects grow and to support crypto founders at an early stage.
Vessel Capital was founded by Mirza Uddin, Eric Chen, and Anthony Anzalone. The firm has been investing nearly $10 million annually.
The company will allocate the investments over five years. Uddin will be looking to work with founders from the beginning on the ideas behind the projects.
The founder explained that it’s essential to create a strong relationship with the founders in the early stages, and a VC that has crypto-related knowledge will help them be on their way to success.
Uddin added that those VCs who don’t understand how the crypto industry works are not in an excellent position to help crypto start-ups expand.
According to a report done by Galaxy Research, VC funding in the crypto ecosystem has dropped compared to 2022. During the second quarter of 2023, the crypto ecosystem received 2.3 billion from VC; last year, during the same period, the crypto funding was nearly 8 million.
