By
Mayowa Adebajo
October 31st, 2023
Uncorrelated Ventures will dedicate 80% of the fund to early-stage startups in traditional infrastructure software.
Uncorrelated Ventures, a venture capital firm known for its strategic investments in disruptive technologies, has announced the successful closure of its latest fund, amassing a staggering $315 million.
Despite uncertainties in the global startup industry, this milestone marks a significant achievement for the firm and underscores the continued investor appetite for groundbreaking innovations across various industries.
Uncorrelated Ventures Fund to Support Startups
Founded on the principles of identifying and nurturing diverse investment opportunities, Uncorrelated Ventures has carved a niche in the competitive venture capital landscape. With a keen eye for emerging trends and a deep understanding of market dynamics, the firm has consistently demonstrated its ability to spot transformative ideas and support visionary entrepreneurs on their journey to success.
According to investor Salil Deshpande, the California-based firm will dedicate 80% of the fund to early-stage startups in traditional infrastructure software. The remaining 20% will be used to back up similar startups in the crypto industry. With the new fund, Uncorrelated Ventures now has over $700 million in assets under management (AUM).
By focusing on sectors that are less influenced by macroeconomic factors and traditional market trends, such as blockchain, biotechnology, artificial intelligence, etc the firm has positioned itself as a trusted partner for investors seeking exposure to high growth opportunities, with low correlation to broader market investments.
As the global landscape continues to evolve at an unprecedented pace, the importance of venture capital in fueling innovation and driving economic growth cannot be overstated.
VC Funding Growing Amid Dampening Interest
As earlier reported by Coinspeaker, crypto VC funding in the first quarter of 2023 was only $2.4 billion, marking an 80% decline from the record $12.3 billion it saw in the same period in 2022. It must be noted, however, that the declining VC funding is not unrelated to the prolonged crypto winter that has put pressure on all sides of the investment landscape. That includes both the startups and the venture capital firms that support them.
However, Polychain Capital, one of the leading crypto-focused VC firms, has raised $200 million in what is only the initial phase of its fourth crypto fund. Notably, this funding came at a time when VC funding for crypto-based businesses was at its lowest level.
So far, Polychain Capital has funded several leading blockchain firms and decentralized platforms, such as Uniswap and Yellow Card. But beyond investing in other firms, the VC also operates a liquid token hedge fund. That is, it has a variety of tokens in its holdings that it invests in.
Likewise, Pando, an artificial intelligence-powered supply chain software startup, announced the closure of a Series B funding round with about $30 million. The company intends to channel the funds to expand its global sales, marketing, and delivery capabilities.
Overall, the funding recorded over the past few years underscores how investors prioritize startups with viable business plans and mechanisms to survive crypto winter, a test Uncorrelated Ventures seems to have passed
