Web3 and ABCDE are not accepting new investments anymore. But why are these blockchain-based funds taking such firm steps?
While ABCDE is going on about they $400 million fund committed to all the ongoing projects.
On April 19th, the ABCDE co-founder Du Jun clarified that the $400 fund would not be used for any new project. The company won’t raise capital for the following phase of the fund either.
The Upcoming Project Status……..
Jun made another essential announcement. He said that ABCDE will offer post-investment support to the project stakeholders in full swing. At the same time, they will offer exit arrangements for the existing projects too.
These steps are necessary to ensure the ensuing commitment towards the entrepreneurs working with ABCDE for a long time. Meanwhile, ABCDE needs to provide support to the liquidity providers as well.
The Rest Of Jun’s Comments
Jun further commented that his drive will gradually shift. The transition will be from financial investment in the primary market towards the strategic investment niche. His investments henceforth would all be deeply incubation-based.
ABCDE might focus more on industrial synergies. The firm will, however, have a consolidated focus on the long-term plans that will generate stable values in the crypto market.
The Timing
The announcement came 90 days after ABCDE’s last investment in an ETH layer 2 solution, by the name of Soon.
The venture raised roughly $22 million through a non-fungible token sale, marking the launch of the main net.
To date, ABCDE has invested more than $40 million in more than 30 projects in the last 3 years. However, the most important part is that the internal return rate for returns is still at a leading level globally.
The bottom line is that stalling the investments came as a surprise for all!
