a16z's Chris Dixon Tops 'Midas Listing' Turning $350 Million To $6 Billion In 2021


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Crypto enterprise capital corporations have been investing at unprecedented charges not too long ago and Andreessen Horowitz is without doubt one of the trade leaders who’re seeing large returns on their investments.

Chris Dixon, normal companion of Andreessen Horowitz (a16z), topped Forbes’ “Midas record” of the world’s greatest enterprise capitalists in 2022.

Hardly ever does a crypto or Web3 funding spherical full with out a16z being concerned ultimately. In response to a press launch dated April 12 report per the publication, Dixon turned $350m Crypto Fund I into realized and unrealized positive aspects of $6bn in 2021. This equates to a jaw-dropping 17.7x acquire in response to “sources acquainted with the fund’s funds” .

By comparability, the general cryptocurrency market itself solely managed a 200% acquire, from $780 billion on January 1, 2021 to $2.3 trillion on the finish of December of the identical 12 months.

a16z bought into crypto early, main a $25 million funding spherical in Coinbase in 2013. By the point Coinbase went public in April 2021, the corporate held a 15% stake after 14 extra funding rounds . The shares have been value $10 billion on the primary day of buying and selling, leading to a 60x return for the corporate. Nonetheless, that was a number of years earlier than Dixon’s crypto fund launched in June 2018 with $300 million raised in whole on the time in response to Crunchbase.

There have been different notable investments by a16z together with decentralized change Uniswap, blockchain Avalanche, NFT creator Dapper Labs, and Ethereum Lido Staking Platformwhose valuation or collateral have all since elevated.

Dixon, who hardly ever seems for interviews, informed Forbes:

“My job is to not predict the longer term. My job is to be sensible sufficient to know who the sensible individuals are who will do it.

The corporate is at present elevating funds for world’s largest crypto fund value $4.5 billion. In January, the corporate mentioned it deliberate to boost $3.5 billion for the fund, along with one other $1 billion for Web3 seed investments.

Journalist Alex Konrad mentioned that a16z “plans to push its crypto fund again into the enterprise – making crypto the core of its core funds, like cloud or web.”

Associated: Venture Capital Year in Review 2021: Cointelegraph Research Terminal

Some crypto trade watchers have expressed issues that an excessive amount of enterprise capital involvement and funding in a undertaking might erode its decentralization. A selected situation has been a16z’s holdings of UNI tokens and the affect of voting on governance. However both approach, essentially the most outstanding enterprise capital agency within the crypto trade is at all times looking out for brand spanking new funding alternatives within the sector.

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