Investment in crypto companies, which surged at a record pace during the 2021 bull market, slowed dramatically as the bear market took hold. Many venture capital (VC) firms scaled back their exposure to the volatile Web3 sector, waiting for clearer market signals before re-entering.
However, DWF Labs, the new generation Web3 investor and market maker, has stepped in with a steady wave of investments. Andrei Grachev, Managing Partner of DWF Labs, shared with CoinDesk that 'We believe that this bearish market – this turbulent market – is the best time to join the investment space.'
We follow a holistic investment strategy, offering projects not just capital but also market making services and a vast ecosystem of partners and resources. This approach helps Web3 startups gain stability and liquidity in uncertain markets, supporting long-term growth.
Beyond blockchain infrastructure, we are also exploring investments in artificial intelligence (AI)-powered projects and gamified finance (GameFi), two emerging sectors set to redefine crypto adoption.
In recent months, we led several high-profile funding rounds, including:
- $40 million for tomi, a decentralised autonomous organisation (DAO) building an alternative, censorship-resistant internet.
- $20 million for Synthetix, a derivatives trading platform enhancing the DeFi ecosystem.
- $40 million for Fetch.ai, an AI-focused crypto protocol integrating machine learning with blockchain technology
Our proactive approach demonstrates our belief for decentralised technologies. By continuing to back high-potential Web3 projects, we support market innovation and further blockchain adoption.