The multi-billion-dollar asset manager has set up a $30 million fund to invest in pre-seed and seed startups in fintech and crypto.
One of the main issuers of spot Bitcoin and Ether ETFs in the US, VanEck, is making a move into the VC space. The firm said that it will focus on tokenized asset issuers, financial marketplaces and stablecoin companies.
The VC play will be led by Wyatt Lonergan and Juan Lopez, both former leaders at Circle Ventures, an arm of Circle, issuer of the second-largest stablecoin.
VanEck is looking to back 25-35 startups with checks ranging from $500,000 to $1 million. It’s already invested in four projects but didn’t disclose their details. For an entrepreneur working at the intersection of fintech, digital assets and AI, a fund like this could provide early capital.
But why that focus?
Things have started to heat up in the asset tokenization and stablecoin spaces.
- Asset tokenization, which is all about turning real-world things into digital tokens on the blockchain, is projected by Boston Consulting Group to blow up to $16 trillion by 2030.
- Stablecoins, which are tied to stable currencies like the US dollar to minimize the wild swings typically seen with crypto, now have a market worth more than $170 billion, with Tether’s USDT and Circle’s USDC running the show.
Banking giants like JPMorgan and Goldman Sachs have jumped into the tokenization hype train. Even Visa and PayPal have rolled out their own stablecoin platforms.
Your move, builder
VanEck, which has a history of spotting emerging investment trends, has big plans in the digital asset space that go beyond its crypto-linked ETFs. And early-stage funding from them could go a long way, especially for those using blockchain and tokenized assets.
Stablecoins, in particular, are gaining traction as the backbone of new payment and money apps. This means startups building in this space could lock in both financial and strategic upside.
