SBI Group, Sygnum and Azimut Group have created a $75 million venture capital fund to invest in start-up companies in the digital asset sector.
With SBI Ven Capital as the primary fund manager, the fund's investment strategy will primarily focus on Pre-Series A and Series A companies developing blockchain/distributed ledger technology (DLT) infrastructure, decentralised finance (DeFi) solutions and regulatory technology tools.
The fund is poised to take advantage of significant venture capital inflows into the industry, which amounts to 6% of all global venture capital funding year-to-date, up from slightly over one percent this time last year.
As of H1 2021, over $17 billion of investments were made into blockchain/DLT and cryptocurrency companies globally. Highlighting the growth trajectory of the sector, seven of the 10 largest blockchain/DLT and cryptocurrency funding rounds of all time closed this year.
CEO and managing director of SBI Ven Capital, Ryosuke Hayashi, says: "DLT and digital assets are at the inflection point of mainstream adoption, and they have the potential to reduce inefficiencies and unlock new capabilities across several sectors, such as financial services and supply chain management. The fund enables us to bring our expertise and networks in the sector to accelerate the growth of promising digital assets companies and to shape the future of financial services."
SBI, which has opened its own cryptocurrency dealing deask and formed strong partnerships with Ripple and R3, has significant holdings in the sector. In Feburary the firm pumped an eight-figure dollar injection into Swiss digital asset bank and fund partner Sygnum