Early-stage venture capital firm, Dispersion Capital, has recently emerged from stealth mode to announce the launch of a $40 million fund dedicated to backing startups involved in building infrastructure for Web3 projects. With an emphasis on advancing cutting-edge infrastructure for a multichain, multi-currency, and multi-platform ecosystem, Dispersion Capital aims to propel Web3 and decentralized platforms forward.
The firm has already made investments in 20 companies, with the majority of them receiving subsequent rounds of financing. Dispersion Capital’s funding comes from prominent organizations such as Ripple, HashKey, Wemade, Circle Ventures, Alchemy Ventures, Cherubic Ventures, Forte, and NGC.
Founder Patrick Chang revealed in an interview with TechCrunch that Dispersion Capital’s mission is to elevate Web3 to a level akin to cloud computing. The surge of Web3 and non-fungible token-focused enterprises entering the market in 2021 exposed the need for more robust infrastructure support. Chang highlighted issues with onboarding, scalability, and security that were frustrating for users and newcomers to the Web3 space, attributing them to the relative immaturity of the infrastructure.
Dispersion Capital has defined its focus as funding startups specializing in specific layers of Web3, including fintech and gaming infrastructure, security, data management, and platforms that challenge traditional industries.
The timing of Dispersion Capital’s official launch is significant. Despite a decline in early-stage venture investments in the first quarter of 2023, PitchBook identifies privacy, data management, and security for Web3 protocols as emerging markets this year. This suggests that Dispersion Capital is well-positioned to navigate regulatory uncertainties and capitalize on the sector’s future growth.
