The VC Firm Arrington Capital Management has created an Ecosystem Fund for projects that build on the Layer 1 blockchain Algorand.
— Michael Arrington 🏴☠️ (@arrington) June 10, 2021
Arrington contributes 100 million USD towards Algorand Ecosystem Growth
The Arrington Algo Growth Fund sets money aside to buy equity and tokens from projects within Algorand’s growing ecosystem. This makes the AAGF Arrington’s second VC fund specifically dedicated to a blockchain project, after their Arrington XRP Capital Fund supporting Ripple. In the last quarter that fund reported 236.7 million USD in assets. Michael Arrington, founder of the VC firm, said the following:
Our limited partners include several parties who align with the Algorand vision and want to support the expanding ecosystem with new offerings. We may also bring on additional investors. Additionally, I am personally investing in the fund.
Institutional Investments will continue to surge
Not only Arrington Capital has recently taken up interest in smaller blockchain projects. profiting from instituitional investors. In the past months, we have seen quite a lot of instituitional investment activities coming, among others from ROK Capital, Goldman Sachs, and Google.
The traditional financial world is beginning to see cryptocurrencies as sound assets. This development has now gotten a boost from Latin American who are considering giving Bitcoin legal tender status. As such, it comes to no surprise that institutional investments are skyrocketing, although the European Investment Bank recently warned that the EU will fall behind other areas in blockchain investments.