VanEck ventures into crypto venture capital, raising $30 million to invest in tokenization and stablecoin platforms

The asset management company VanEck has established a venture capital department and hired two former executives from Circle Ventures to lead the department. The company is raising $30 million for its first fund, VanEck Ventures Fund I, focusing on investing in startups in the fields of financial technology, cryptocurrency, and artificial intelligence.

VanEck Has Years of Experience in the Digital Asset Space

New York-based asset management company VanEck, with assets under management reaching $107.7 billion as of the end of June, offers investment tools such as exchange-traded funds (ETFs), mutual funds, institutional funds, separately managed accounts, and more. The company has a deep involvement in the digital asset space, including the launch of Bitcoin spot ETF HODL and Ethereum spot ETF ETHV this year, as well as investments in the digital asset space through other private funds, including the recently launched VanEck Ventures Fund I.

Fund to Focus on Tokenization and Stablecoin Platforms

The VanEck Ventures Fund I is expected to raise $30 million in funds and invest in early-stage startups in the financial technology, digital asset, and artificial intelligence sectors. The fund will be led by Wyatt Lonergan and Juan Lopez, who previously led the corporate investment team at Circle Ventures and have now joined VanEck as general partners.

According to The Block, the fund will target early-stage startups and focus on tokenization and stablecoin platforms. Lopez stated:

As we see broader stablecoin regulation and the development of on-chain and off-chain payment system compatibility, there will be many exciting opportunities.

Lopez believes stablecoins are the most important product-market fit today besides Bitcoin, anticipating a "fintech explosion based on stablecoins" and describing it as a "service layer for open-source banking." He envisions blockchain-based stablecoins like Solana will help create a fair competitive environment, making near-instant, near-free transfers the norm in the next five years.

The VanEck Ventures Fund I plans to make 25 to 35 investments ranging from $500,000 to $1 million each. According to PitchBook data, as of August, crypto venture capital firms have raised over $2.2 billion in new capital through closed-end funds.