Sequoia Capital, an American venture capital firm based in Menlo Park, California, is launching a fund dedicated to investing in crypto assets. Sequoia claims in a blog post titled “A Block Step Forward” that the new liquid token fund will “complement” the firm’s previous crypto investments. Sequoia also talks about how they’ve worked with people in the crypto world before, like FTX CEO Sam Bankman-Fried and Fireblocks co-founder Michael Shaulov.
Blockchains like Ethereum, Solana, and “important” decentralised finance (defi) protocols were also discussed by the startup funding company. Sequoia stated that the company learned a lot while investing in crypto technology. In the blog post, it is stated that “the company will invest in a new $500–600M sub fund focused largely on liquid tokens and digital assets.”
Sequoia Capital explained that their objective with this fund is to be more involved in protocols, to better assist token-only enterprises, and to learn by doing so. The company is collaborating with the crypto community, including continuous funding for open-source research.
During the first week of February 2022, Sequoia Capital India led a USD 450 million financing round in Polygon. Sequoia is regarded as one of the top 20 venture investors in blockchain and cryptocurrency. The companies in which the California-based firm has invested are Polychain, Binance, Huobi, Polygon, Orchid Labs, and String Labs, among others.