Crypto derivatives exchange FTX announced the launch of a venture division. The structure will direct $2 billion to invest in startups at different stages of development and in segments of the cryptocurrency market, writes WSJ.
According to the head of FTX Ventures, Amy Wu, the fund is ready to invest from $100,000 to “hundreds of millions of dollars.” The capital disbursement could take place before the end of the year if there are favorable opportunities, she added.
The top manager is known as the head of investment in gaming and crypto startups at Lightspeed Venture Partners. She will continue to serve on the board of directors of the venture company, despite the new appointment.
In addition to leading the fund, Wu is tasked with overseeing M&A deals, partnerships, and initiatives in the gaming space.
The fund is also interested in offers related to insurance and security of cryptocurrencies, the creation of tools for developers, and cross-chain protocols.
Prior to launching FTX Ventures, the crypto derivatives exchange had invested in dozens of startups, including Faraway, DriveWealth Holdings and Web3Auth.
The Fund is ready to participate in funding rounds with partners and acquire shares and tokens, including during the pre-sale. It is supposed to coordinate the work of portfolio companies with the platform team.
Recall that in July, FTX raised a record $900 million at that time with a company valuation of $18 billion. In October, the crypto derivatives exchange closed a Series B-1 funding round in the amount of $420.69 million, after which its valuation reached $25 billion.
In November, it became known about the launch of a $ 1.5 billion fund by a former top manager of Citi to invest in the crypto industry.
Previously, similar structures were formed by Pantera Capital ($600 million), Paradigm ($2.5 billion) and Andreessen Horowitz ($2.2 billion).