According to Bloomberg, the venture capital firm Dragonfly has purchased the crypto venture capital firm MetaStable Capital.
This company has invested in Algorand, Avalanche, Starkware, Cosmos, NEAR, and Ethereum.
The exact cost of the acquisition is not known yet.
“We are committing to our crypto-native roots.”
In addition, MetaStable was given a new name after the acquisition, “Capital” was dropped, and a new logo was used, according to Dragonfly.
Former MetaStable partner Qureshi stated:
“The bear market has caused many traditional and crossover funds to exit the crypto market. We’re the opposite: we’re going deeper and committing to our crypto-native roots.”
By 2022, the crypto sector will have received $17 billion in venture capital cryptocurrency deals. With the largest money raised at $4.5 million, this year has the greatest median deal size.
According to Qureshi, DragonFly Capital has significantly increased from its prior size and thinks that traditional VCs will eventually return.
DragonFly Capital recently established a $650 million venture capital fund to continue investing in the larger digital currency ecosystem.
The encrypted credit protocol Debt DAO received a $3.5 million seed round of funding from Dragonfly Capital at the beginning of August.
With a $650 million oversubscription, Dragonfly Capital concluded its third venture capital fund in May. The investment company lists scaling smart contracts, DAOs, NFTs, and DeFi as primary emphasis areas.