Crypto exchange firm CoinDCX has launched its venture arm CoinDCXVentures which will be looking to invest in early stage Web3 startups in India and globally. A fund of Rs 100 crore has been dedicated for this initiative which will be deployed in the next 12 months.
CoinDCX Ventures has invested in seven Web3 startups including Web3 social network Taki, notification protocol EPNS, and cross chain solution Router Protocol.
Moneycontrol was the first to report that CoinDCX and rival Coinswitch will be looking at investing in Web3 companies through venture arms.
CoinDCX will be looking at investing in the range of $100k-1 million in each startup and plans to do around 40-80 investments. The crypto exchange will also be eyeing strategic acquisitions and has a separate fund for it.
“Having worked closely with venture capitalists in the space, we understand the value and importance of such support,” said Sumit Gupta, CoinDCX CEO and co-founder.
The exchange is looking at investing in areas of infrastructure including taxation, encryption, KYC compliance, products like decentralised finance and centralised finance, development tools, infrastructure layer development and Web3 applications.
Last month, CoinDCX raised $135 million Series D fundraise doubling valuation to $2.15 billion. In an interview to Moneycontrol, it had said they will look to foray into international markets such as Europe and Southeast Asia, Dubai and the rest of the Middle East and Australia.
Meanwhile, Bitcoin plunged to its lowest level since July 2021 on Monday, dropping in tandem with US equity markets amid concerns about aggressive tightening by the Federal Reserve in the future.
In India, the GST Council is considering levying 28 percent tax on cryptocurrencies and related services which is on par with lottery, casinos, betting and race courses. The law committee’s view will be tabled before the Council for a formal nod.
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