Binance Labs has raised a $500 million start-up fund to focus on the projects driving the growth of Web3 space.
The venture firm is expecting to leverage the recent dip in digital assets to facilitate founders building potential projects. The firm seeks to invest in tokens and shares through pre-seed, early-stage, and growth equity.
The firm’s executive director of investments and M&A, Ken Li, says that despite a decline in start-up valuations of more than $1 billion, there was no impact on the markets.
The announcement comes when cryptocurrencies are facing downward pressure, with Bitcoin down 50% since peaking at $69k in November last year. The plunge has caused a plunge in shares of listed exchange Coinbase by 69% since 2022.
Web3 is a future iteration of the internet that is more decentralized than the existing online protocols and incorporates the blockchain architecture behind most cryptocurrencies.