The venture capital company Jump Capital has stocked up on fresh capital: A large part is to flow into crypto investments.
As Forbes reports, the venture capital company Jump Capital is getting fresh capital. A total of 350 million US dollars were raised in this way. 40 percent of this sum should flow into the crypto market. In 2019, the venture capital firm raised $ 200 million. At that time, this capital was also put into crypto investments, among other things.
The years 2020 and 2021 were a wake-up call for many institutional investors. Unlike Jump Capital, which jumped on the bandwagon some time ago. As Forbes reports, the company has been pointing its toes in the direction of crypto for six years. And so the bull market was more of a confirmation of their strategy. Logically, the venture capital company now made the decision to delve deeper into the field.
Peter Johnson, one of the crypto strategists at Jump Capital, told Forbes:
Cryptocurrencies are becoming more real and adoption has really accelerated. We had a huge opportunity and we were uniquely positioned to take advantage of it. And that’s what we did, we decided to double our commitment.
Jump Capital to Forbes
Jump Capital splits its corporate activities into two areas: venture and crypto. The company’s crypto portfolio includes the Bitmain, 0x, Bitpanda, Trading View and CoinDCX projects. The investments in crypto companies are in the order of 500,000 to 10 million US dollars. Jump Capital has not committed itself to a specific country, the focus is global. This is also shown by the financing of the Indian crypto company CoinDCX.
Jump Capital basically invests in crypto ideas from the following areas:
Venture capital firms don’t just offer money. In addition to capital, young companies are often also provided with know-how. And so Jump Capital also offers know-how to the supported projects. The website says:
We offer an experienced investment team, support from our operational partners and a dedicated recruiting platform – not to mention the combined resources of the Jump corporate network.
Jump Capital website
The recipe for success
According to the Forbes report, success in investing in crypto is largely built on the company’s roots. Because the Jump Capital parent company is called Jump Trading LLC. – A trading company that is over 20 years old and deeply rooted in traditional financial markets and the world of trading. Jump Trading LLC is a member of most of the major stock exchanges, for example the New York Stock Exchange or Eurex.
Jump Capital also sees its success based on the fact that the company is not only looking for the next “hype” project. Rather, the company regards the start-ups behind the crypto projects as a financially oriented company. This knowledge should help the company to better penetrate the market and thus find start-ups that solve real problems and have real market potential.