Latin America’s Largest Crypto Exchange Launches Venture Capital Unit: Crypto Wrap
RIYAD: 2TM, funded by Softbank, owner of Latin America’s largest cryptocurrency exchange, has launched a venture capital unit focused on blockchain companies around the world.
2TM, based in Brazil, valued at around $ 2.2 billion after the last fundraising of $ 50 million, is the holding company of Mercado Bitcoin, with 3.2 million customers as of October 2021. Over the past 10 In the first few months of the year, the trading volume at the crypto exchange grew to $ 6.4 billion, surpassing its total of the first seven years.
The Brazilian company has raised 200 million dollars from the Japanese group SoftBank Group Corp. for Mercado Bitcoin in a fundraising round over the summer.
2TM Ventures, the company’s new unit, has so far invested $ 32 million in a portfolio of 10 crypto companies, 2TM chief executive Roberto Dagnoni told Reuters in an interview. .
âWe want to be the infrastructure provider for the token economy,â Dagnoni said.
2TM Ventures seeks to become a catalyst for the new economy by supporting innovative and disruptive companies that create new financial applications and concepts, he said.
Investments will be made using both traditional financial instruments such as stocks and convertible notes, as well as new instruments, including the direct purchase of tokens.
Some of 2TM’s investments include a stake in $ PRINTS tokens in Fingerprints DAO – Decentralized Autonomous Organization – a non-fungible token custody and collection group.
2TM also led the round at Tropix, a marketplace for digital art NFTs, and at SL Tools, a financial market infrastructure provider that uses blockchain.
The assembly attracts $ 100 million
Elsewhere, some of the largest Asian venture capitalists and crypto hedge funds will invest $ 100 million to develop more applications on a new blockchain called Assembly as part of the IOTA network, co-founder Dominik Schiener told Reuters in an interview.
IOTA is a distributed ledger network similar to blockchain.
The assembly will focus on decentralized finance, NFTs and cryptocurrency games, Schiener said.
DeFi projects, facilitating crypto-denominated loans outside of traditional banking, and NFTs, which are unique, non-interchangeable certified digital assets, are two of the fastest growing crypto sectors. Many blockchain companies across the world have turned to this space to meet the growing demand.
Assembly, a smart contract network similar to the Ethereum blockchain launched by Berlin-based research and engineering group IOTA Foundation last month, will serve as an anchor for DeFi, NFT, and gaming applications. Smart contracts are self-executing transactions whose results depend on pre-programmed inputs.
Asian investment firms led by LD Capital, Signum Capital, Huobi Ventures, UOB Venture Management, HyperChain Capital and Du Capital have committed $ 100 million to fund Assembly network developments, Schiener said. Crypto market maker GSR will also contribute to the $ 100 million investment, he added.
Bitcoin was little changed in the markets on Friday at $ 48,315.77 around 6 p.m. Riyadh time. Ethereum lost almost 5% to $ 4,030.69.