Huobi is a leading crypto exchange that has announced the creation of a new investment segment to tackle Web3 and decentralized finance (DeFi) projects. The new armed was named Ivy Blocks by the exchange. It will now focus on finding projects in seed stages to help them through financing and other supporting services with the primary objective of making a “better, more inclusive” Web3 space.
Huobi Enters The Web3 Investing Scene With Ivy Blocks
Web3 has become a thriving nascent sector with many exchanges and venture capital firms joining the trend. Huobi, a top ten crypto exchange in volume traded, has now announced the launch of its investment arm to tackle the new markets.
Ivy Blocks, as the crypto exchange has decided to name it, will have the task of identifying possibly successful Web3 and DeFi projects to nurture and incubate. Based on a PR statement that was issued by the firm, Ivy Blocks will have access to a multi-billion dollar war chest to complete its targets, something that makes it:
“Well-placed to take advantage of unique opportunities in cryptocurrency markets globally.”
To support the projects, perfectly, in their seed and growing stages, Ivy Blocks will unveil three core services. The services include an innovation-led incubation division, an asset management platform for decentralized finance projects, and a more research-driven crypto platform. All of these services will be available to the firms under the wing of Ivy Blocks.
Financing Power
Financing is an integral part of the support that an investment firm provides to its portfolio firms. Ivy Blocks’ operations are simple and it aims to offer economic support to startups, which mostly fail as a result of finance-related challenges. On the relation that the new firm will have with its portfolio projects, Lily Zhang, Huobi CEO, said:
Buy Crypto Now“Many promising projects tend to encounter liquidity constraints and a lack of go-to-market support, which presents significant barriers to growth. Our focus on providing such projects with liquidity investments and incubation services will no doubt contribute towards creating a better, more inclusive DeFi and Web3 blockchain ecosystem”
Ivy Blocks already has over $1 billion in assets under management (AUM) from several companies that are already incubated. One of these firms is Capricorn Finance, an automated market maker (AMM) that is powered by the Cube blockchain.
Other crypto exchanges have also invested in Web3 projects recently. Binance Labs is the investing arm of the exchange that confirmed that it launched a $500 million fund for Web3 projects on June 3.
