Hello world. Meet very early Ventures. In this post, we want to introduce you to our fund, its guiding principles, and our vision for the future of blockchain technology and the Web3 space.

We are crypto-native builders rooted in Europe

All of our partners have been in crypto since 2015-2016. Our team brings the technical expertise required to understand the complexity and keep up with the speed of Web3. Two of our 3 partners have technical PhDs in relevant fields, and all of us understand the Web3 tech stack deeply. We’ve built protocols, clients, and tokens, and bring experience from projects like MakerDAO, Celo, and Outlier Ventures.

very early Ventures is backed by professional institutions and crypto-native founders. We believe that we serve an important function in bridging these two worlds.

While crypto is global, early-stage teams are often locally anchored. Our team is building communities across major European crypto hubs such as Lisbon, Berlin, Zurich and Paris. Europe is becoming a Schelling point for early-stage founders due to its excellent quality of life and crypto-friendly jurisdictions. We only expect this trend to continue.

We support founders with technical expertise

Like many VCs, we are “helpful” to founders by making connections, whether to other  investors, customers, or partners. However, we go much further than that. The technical experience we outlined above allows us to roll up our sleeves and be involved in critical workflows directly wherever possible.

We can advise on product decisions, architecture trade-offs and the latest tooling from best practices experienced with leading projects. Whether for analyzing on-chain activity, modeling risk in a staking/slashing scenario, or creating scenarios for token supply dynamics - analytics as a value-add is very well-received by founders. Finally, we can support the process of a token launch from token design to distribution. Choosing suitable mechanisms to set the right incentives for stakeholders is key for unlocking the power of tokens. Similarly, setting up an effective and realistic plan for decentralized governance can accelerate a project significantly.

Thesis: Infrastructure and real-world impact

Our thesis for the first fund is centered around two main topics. Building the next layer of decentralized infrastructure, and helping Web3 cross the chasm to real-world impact.

The next wave of infrastructure

The value proposition of blockchains themselves has been sufficiently proven over crypto’s last cycles. However, blockchains are not enough. Additional infrastructure is needed for them to scale, interoperate, and become usable for a broader range of applications and to larger audiences. One of the key advantages of infrastructure investments is that they are not opinionated on specific use cases. By focusing on the foundational layer, we enable value capture through tokens without being constrained by a particular application or industry. Key areas we are interested in include

1. Cryptographic primitives: A wave of innovations in cryptography unlocks new ways of building this infrastructure: These include zero-knowledge proofs, scaling solutions, and abstraction layers.

2. Off-chain middleware: We are also generally very interested in trustless, off-chain protocols that complement blockchains around data, computation, identity, and credentials. All of these are needed for a robust and efficient foundation upon which broader Web3 applications can thrive.

3. Composability: It is essential to understand the critical role that composability plays in the blockchain ecosystem. Fragmentation across various blockchains and layer 2 solutions poses significant challenges to interoperability and UX. We aim to support projects that foster a unified and composable environment for Web3 applications.

In reality, the relationship between applications and infrastructure is cyclical and interactive. As applications innovate and explore new use cases, they push the boundaries of existing infrastructure and create a demand for more advanced solutions. Simultaneously, advancements in infrastructure empower applications to expand their capabilities and reach new heights.

Real-world impact

The second part of our investment thesis revolves around generating real-world impact, with the ultimate goal of crossing the chasm from early adopters to the majority of users. We believe it is crucial to move beyond the self-contained crypto bubble and start making a tangible difference in the lives of everyday people. By supporting projects in areas where we are ripe for that move, we aim to foster widespread adoption and create a more inclusive, empowering digital future for all. Below, we list some areas we are interested in:

1. DeFi for the Masses: Decentralized finance (DeFi) holds the promise of democratizing access to financial services, making them more accessible, efficient, and transparent. The proliferation of stablecoins shows that the time is right for DeFi to fulfill its promise by serving much larger populations. We want to support projects that simplify DeFi for everyday users, removing barriers to entry and providing intuitive, user-friendly interfaces that cater to a broader audience.

2. NFTs and Culture Diffusion: Non-fungible tokens (NFTs) have the potential to revolutionize the way we create, share, and monetize digital art and collectibles. We are already seeing large brands from Reddit to Nike leverage NFTs. We think it will be especially relevant for the long tail of creators, allowing them to create a direct relationship with their fans. We expect NFTs to enable the diffusion of digital culture across various industries, such as art, music, gaming, and more.

3. Real-World Assets and Tokenization: Tokenizing real-world assets, from carbon credits to traditional finance instruments, can help unlock tremendous value and create new opportunities for investment and wealth generation. We are particularly interested in supporting projects that bridge the gap between the physical and digital realms, making it easier for individuals and institutions to tokenize, trade, and manage real-world assets on blockchain platforms.

By focusing on these areas, our real-world impact investment thesis aims to drive the adoption of blockchain technology among the broader public, ultimately creating a more inclusive and equitable digital landscape.

We are still very early

To put things into perspective, in terms of adoption, we are still in the early nineties when compared with the internet. The largest growth is yet to come, and the opportunities we are about to witness are nothing short of extraordinary.

At the core of Web3’s lies the possibility of separating money from state. Creating a new global monetary system that transcends borders, redefines property rights, and empowers individuals like never before. This transformation represents the biggest opportunity of our lifetimes, and we are thrilled to be part of this paradigm shift.

But the potential of blockchain and Web3 goes beyond financial applications. We're looking at re-architecting the internet itself, breaking the current centralized monopolies, and putting users back in control of their data, privacy, and digital lives. We hope to enter a new era of a more decentralized, transparent, and accountable digital world.

Our goal is to contribute to the development of a more equitable, global financial system and a new layer of the internet that prioritizes user autonomy and inclusivity. The future is bright, and we can't wait to see what it holds.