Lightspeed Faction Launches $285M Fund for Web3
Lightspeed Faction: An Introduction
Lightspeed Faction is a venture capital fund specializing in crypto, jointly established by Lightspeed Venture Partners, a fund focused on traditional technology, and Faction, a crypto-focused fund. They support early-stage crypto projects, investing in Seed and Series A stages. Their approach is flexible and long-term, believing in the substantial future potential of crypto and its significant impact.
Lightspeed Faction Launches $285M Fund for Web3 Crypto Projects
In a recent strategic move, Lightspeed Faction announced the establishment of Lightspeed Faction Fund I ("Faction"), a venture capital fund with an initial commitment of $285 million specifically dedicated to blockchain and web3.
The announcement on November 9 coincided with a pivotal moment in the web3 industry, aiming to recover from recent sharp downturns in crypto markets.
The third quarter of 2023 marked the seventh consecutive quarterly decline in funding for web3 startups. However, recent fund launches, including SBI Holdings' $662 million investment strategy, indicate growing investor interest in web3 startups, metaverse, AI, and fintech.
Faction's focus is on supporting projects that bring tangible benefits to real-world users and businesses.
Notable investments include support for zkSync Matter Labs, Aave's social communication protocol Lens, Crossmint, and dedicated payment tools for NFT developers.
Lightspeed also pledges support for blockchain-related issues, contributing to collaborative development between parties.
Samuel Harrison, Co-founder and Managing Partner of Faction, highlights Lightspeed's track record of deploying over $500 million to early-stage blockchain startups.
Lightspeed Faction asserts its commitment to driving the next generation of web3 technology. With a $285 million fund, they demonstrate substantial capital readiness for a transformative era, reflecting optimism and confidence in the future of web3 startups.
