- Binance's venture capital arm closed a $500 million investment fund to develop Web3 and blockchain projects.
- Binance Labs will use the cash to invest in areas like DeFi, NFTs, gaming, and the metaverse.
- Binance said the funds will be invested in incubation, early-stage venture, and late-stage growth.
Binance said Wednesday its venture capital arm closed a $500 million investment fund for a range of new projects.
The cryptocurrency trading platform said that Binance Labs received the funds from institutional investors including DST Global Partners ans Breyer Capital. Binance Labs will use the cash to expand Web3 and blockchain technology.
"The goal of the newly closed investment fund is to discover and support projects and founders with the potential to build and to lead Web3 across DeFi, NFTs, gaming, Metaverse, social, and more," Changpeng Zhao, Binance's founder and CEO, said in a blog post.
Binance added that the funds will be invested across three stages: incubation, early-stage venture and late-stage growth.
Web3, while still lacking a concrete meaning and application, often refers to the next stage of the internet that is further decentralized and accessible.
The influx of cash arrives as crypto markets remain turbulent. Bitcoin, the largest cryptocurrency by market capitalization, is down more than 50% from its all-time high of $69,000 seen in November 2021.
Meanwhile, other crypto assets like NFTs have also seen valuations drop and sales volumes slow down as more hawkish central bank policies have created an overall shift away from risk assets.