Cake DeFi Launches $100M Venture Capital Arm

  • Cake DeFi Ventures will focus its investments on the web3, metaverse, non-fungible tokens (NFTs), gaming, and fintech spaces.
  • The first company to receive funding from CDV will be United States-based media startup The Edge of Company.
investment

Shutterstock

Singapore-based decentralized finance (DeFi) fintech Cake DeFi has launched a $100 million venture arm to compliment its core business, the company said in a press release on 9 March.

According to the announcement, Cake DeFi Ventures (CDV) will look for investment opportunities in startups across the world, and will primarily focus on the web3, metaverse, non-fungible tokens (NFTs), gaming, and fintech spaces. The goal of CDV is to invest the $100 million into projects that will complement Cake DeFi’s core business and services, which include liquidity mining, staking, and lending of cryptocurrencies. Co-founder and CTO of Cake DeFi, U-Zyn Chua, said in a statement”

“As an extension of our multiple blockchains support and having built up an R&D arm with cryptography, deep tech capability and specialization, investing in companies that bring synergies to Cake DeFi’s core business will allow us to enhance our Web 3 offerings.”

CDV will not only provide projects with funding, but also with insight and connections into the space. It also plans to take a hands-off approach when it come to operational responsibilities and board seats for projects it has invested into. While no details were revealed, the investment arm has already selected the first company to receive its support, a United States-based media startup called The Edge of Company.

The emergence of another crypto-focused investment fund in Singapore is not surprising, considering the increase in Singapore’s crypto-related investments last year. A report from Big Four accounting firm KPMG from Tuesday showed that crypto-related investments in Singapore had reached $1.48 billion in 2021, compared to the $110 million we saw in 2020. This could be attributed to the government establishing a special-purpose acquisition company (SPAC) framework, which enabled fast-growing companies and unicorns to go public in Singapore.

Discussion
Related Coverage
Tribe Capital Reportedly Considers Reviving FTX
  • The venture capital firm, which invested in FTX before its collapse, is reportedly exploring the possibility of injecting new capital to revive the bankrupt crypto exchange.
  • Unnamed sourced noted that Tribe Capital was contemplating leading a $250 million fundraising campaign for FTX, to which it would commit $100 million.
April 19, 2023, 9:54 AM
ftx

Shutterstock

Are Blockchain Games Safe?
  • Blockchain has not only affected the financial industry but also the gaming world, and game developers are increasingly incorporating the technology into their products.
  • Although the technology is extremely secure, it is important to remember that safety starts with the user, and it is up to them to ensure their protection online.
MetaMask to Launch NFT Price Tracking Feature
  • The popular web3 wallet has partnered with NFTBank, a firm building NFT price-tracking tools, in order to make the new feature possible.
  • NFTBank claims it can offer over 90% accuracy on its prediction thanks to its machine learning algorithm that takes into account floor price, rarity, and bid/ask distribution for NFTs.