A New Venture Fund Emerges in the Crypto Space
In recent news, a group of former executives from Binance, one of the largest cryptocurrency exchanges globally, has created a $100 million venture fund. The team behind this new initiative, known as Old Fashion Research (OFR), consists of managing partners Ling Zhang and Wayne Fu. Zhang was previously the vice president of M&A and investments at Binance, while Fu held the position of head of corporate development at the crypto exchange.
The Fund’s Focus: Metaverse and Emerging Markets
According to Zhang, OFR will be focused on the metaverse and bringing greater crypto adoption to emerging markets like Latin America and Africa. The fund’s goal is to accelerate adoption in these regions by working with builders for the long term.
"We are keen to work with builders for the long run," Zhang said. "We are very Southern Hemisphere-focused. ⌠Weâll go after all of the emerging markets, but itâs our goal and vision to accelerate adoption there."
Experience and Expertise
During their time at Binance, Zhang was responsible for many acquisitions and strategic investments, including FTX, Multicoin Capital, and CertiK. The capital raised by OFR came from limited partners, traditional VC funds, family offices, and angel investors both inside and outside the crypto ecosystem. WEMIX, a global gaming platform, led the investment.
Investments to Date
The project was operating in stealth mode until today, but has invested in more than 50 blockchain projects to date, including Nansen, a blockchain analytics platform; WOO Network, a trading platform; Genopets, a move-to-earn NFT game; and Metaverse Magna, Africaâs largest gaming community.
"Weâre strong believers in the metaverse, not just user activity but the assets perspective," Zhang said. "We believe web3 will be the very first step to revolutionize [our] own identities and asset management."
Strategic Advisors
Wei Zhou, the former CFO at Binance, will serve as a strategic adviser and investor of OFR. Jiang Xin, who led Binance Labsâ and Launchpadâs major investment deals such as Axie Infinity, Moonbeam, Alpha Finance, and others, will support the venture arm.
"The market conditions have cooled down a bit since the beginning of the year and weâre thinking it is more of an opportunity than a challenge for OFR," Xin said. "Since [the fund] is newly started, we can find cheaper and more reasonable valuations during the market downturn and a lot of bubbles will be coming out."
Market Trends
Zhang noted that there has been a growing interest in funds coming into the crypto space or new funds launching to invest in crypto after they saw the potentials of blockchain technology and crypto ecosystem.
"More and more VCs are looking for ways to invest in crypto projects," Zhang said. "Crypto itself is a revolution and disruption of the capital plate. Itâs no longer centralized in a top-down approach."
Recent Developments
A16Z, a well-known VC firm, has invested in several blockchain-related startups in recent months. This trend indicates a growing interest in blockchain technology among investors.
Raspberry AI, a fashion design startup, raised $24M from A16Z to accelerate the development of its platform. Moodyâs, a credit rating agency, agreed to acquire Cape Analytics, which develops geospatial AI for insurance providers.
These developments highlight the growing importance of blockchain technology and the increasing interest among investors in this space.
Conclusion
The emergence of OFR and its focus on the metaverse and emerging markets indicate a new wave of investment in the crypto space. With the experience and expertise of Zhang and Fu, combined with the strategic guidance of Zhou and Xin, OFR is well-positioned to make significant investments in the blockchain ecosystem.
As the market continues to evolve, it will be interesting to see how OFR navigates the challenges and opportunities that come with investing in emerging technologies. One thing is certain: the future of finance and technology is looking bright, and OFR is at the forefront of this movement.
