August 11th, 2017

"We are becoming so accustomed to millions and billions of dollars that 'thousands' has almost passed out of the dictionary."
– Everett Dirksen

THE FEATURE

$100 Million: Coinbase Raises Biggest-Ever Round for Bitcoin Startup

Coinbase has completed the cryptocurrency sector’s largest single round of traditional financing, raising $100 million from venture capital investors.

While we are getting accustomed to seeing record-breaking funding numbers, this one is particularly intriguing in that it highlights two simultaneous yet conflicting trends.

One is that traditional raises are increasingly being dwarfed by initial coin offerings. Data storage network Filecoin’s token sale yesterday raised over $200 million in less than 60 minutes, revealing a growing interest in decentralization.

Another is that “traditional” venture capital firms appear to be beefing up their cryptocurrency bets. Given their winner-takes-all ethos, could this point to an industry consolidation?

A more interesting question is, for how long can the two trends co-exist? Watch this space.