Andreessen Horowitz a private venter capital firm based in the US has plans to invest $1 Billion in the cryptocurrency industry.
As per the story by Forbes, The VC has some plans to enter into the cryptocurrency industry. The firm specializes in biotech is now moving towards cryptocurrency.
The Cryptocurrency market is being regulated by the SEC in the US. And is known as a high-risk investment, thus Andreessen Horowitz feels it’s going to risk on the crypto industry.
Andreessen Horowitz says that,
“it’ll be able to go deeper on riskier bets: If the firm wants to put $1 billion into cryptocurrency or tokens, or buy unlimited shares in public companies or from other investors, it can”
As Andreessen Horowitz moves towards the finical industry thus the present employees of the firm have to go through background checks, such as they need to register their financial investments and other holdings.
The VC is on its path to becoming a registered investment advisor. By doing this the firm will no longer have limits to its stakes. The company can invest any number of funds in larger growing companies.
Andreessen Horowitz has a good track record of funding popular startups such as Airbnb, Pinterest, Lyft and others. And in terms of crypto startups, they were early investors of one of the largest crypto exchange Coinbase in 2017.
Now the VC firm is planning to invest $1 Billion or more in crypto industry. It might be a risk for a firm but it’s worth the risk if their investment is done in the right startup and idea.
Join the newsletter to receive the latest updates in your inbox.