Binance Invests in Multicoin Capital Crypto Fund

It's the first time the crypto exchange has made an investment in an outside fund.

AccessTimeIconMar 2, 2021 at 2:50 p.m. UTC
Updated Sep 14, 2021 at 12:19 p.m. UTC
Consensus 2023 Logo
Join the most important conversation in crypto and Web3 taking place in Austin, Texas, April 26-28.
Consensus 2023 Logo
Join the most important conversation in crypto and Web3 taking place in Austin, Texas, April 26-28.

Binance is joining the ranks of Ribbit Capital, Union Square Ventures and Marc Andreessen as backers of Multicoin Capital, a cryptocurrency investment firm based in Austin, Texas.

It's the first such investment for the global crypto exchange, which has previously backed early-stage projects through its Binance Labs venture arm. The amount of the investment was not disclosed.

"We have worked with Multicoin Capital on several occasions, mainly to identify, incubate and invest in several early-stage blockchain projects," Binance wrote in a blog post published Tuesday. "With this new investment, we affirm our conviction in Multicoin's process and expertise as fund managers."

A spokesman for Multicoin said Binance is joining an open-end hedge fund. The firm most recently revealed a sizable bet on THORChain's RUNE token.

"We have invested thousands of hours researching Binance and can say unequivocally that it is one of the most strategically important infrastructure providers in the blockchain ecosystem," Multicoin Capital managing partner Tushar Jain said in a statement. "This investment represents a major vote of confidence for our firm and a significant responsibility that we are prepared to take on."


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Learn more about Consensus 2023, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.