Binance sets up $500 Million Fund for Blockchain And Web3 Projects
The Binance fund will invest in start-ups and Web3 projects and support blockchain integration for companies.
Binance has set up a $500 million fund to invest in Web3 projects through its venture capital and incubation arm, Binance Labs.
The exchange's CEO, Changpeng Zhao, announced the move, saying:
"The goal of the newly closed investment fund is to discover and support projects and founders with the potential to build and lead Web3 across DeFi, NFTs, gaming, Metaverse, social and more."
The investors include Breyer Capital, DST Global Partners, private equity funds, large corporations, and family offices. This funding will further crypto use cases and allow many web3 projects and ideas to come into the limelight. Despite the crypto crash that happened weeks ago, this move is a sign of good faith in the crypto World.
The plan to invest in web3 projects will be divided into the incubation stage, early-stage venture, and late-stage growth companies.
The incubation stage will be initiated through the Incubation Program of Binance Labs. This stage will allow Web3 projects to access the Labs' resources. The company will invest in all crypto, blockchain, and web3 sectors in the early stage with tokens and equities. Meanwhile, the last stage will see Binance Labs partner with established companies ready to incorporate decentralized networks into their framework.
Binance is the largest crypto exchange globally, recording an average of two billion trade volumes per day and more than a million transactions per second. The exchange was founded in China, but its headquarters are on Caymans Island.
Through its arm, Binance Labs, it has invested in and incubated about 100 projects in 25 nations since 2018. The exchange believes in the freedom of money, and recently, it pushed for broader adoption of crypto by signing an MoU with Kazakhstan.