ViaBTC Capital | The “Building Block” of Blockchain Progress: Infrastructure Construction

In the crypto world, leading institutional investors are always making forward-looking investments that herald the next boom in the industry, which is why their investment goals have remained at the center of the spotlight. ViaBTC Capital, a crypto institutional investor founded last year, has equally astute insights. StepN, a Move2Earn application it invested in last year, has become a successful example of gamified Web3 projects. In addition to applications, ViaBTC Capital has also focused on infrastructures. Since early 2022, we have prioritized investments in crypto categories, including new public chain infrastructures, Ethereum 2.0, new storage and development tools.

The importance of investing in infrastructures

As Web3 applications such as DeFi, GameFi, SocialFi, and NFT flourish, blockchain ecosystems have become more diversified as well. New applications continue to drive up the crypto world’s market cap. Meanwhile, Web3 applications have continued to break Web2’s record. For example, projects such as Compound, Uniswap, Synthetix, dYdX, Axie, and STEPN span categories such as finance, trading, derivatives, games, reality, etc. Developers of decentralized applications (DApps) go beyond blockchain infrastructures. They are obsessed with developing and innovating DApps that deliver high returns in the short term. This has led to problems such as high costs and difficult cross-platform operations, as well as terrible user experiences. As a result, institutional investors and users have taken a wait-and-see attitude and are reluctant to embrace the blockchain space.

Always committed to ViaBTC Group’s vision to “be the infrastructure of the blockchain world”, ViaBTC Capital believes that only the constant advancement of blockchain infrastructure could enable the long-term advancement of blockchain. At present, underlying blockchain technologies and frameworks face many challenges such as expensive gas tariffs, poor interoperability, difficult data and index verification and complicated development process.

ViaBTC Capital’s infrastructure portfolio

Of the more than 20 projects invested by ViaBTC Capital, 70% are infrastructure projects (including tools).

ViaBTC Capital focuses on infrastructures related to Ethereum including Arbitrum (one of the most trending Layer 2 scaling solutions), Flashbots (an MEV infrastructure), Aurora (a NEAR based EVM compatible protocol), etc. These infrastructures offer more solutions for scaling the Ethereum ecosystem. Arbitrum, a Layer 2 infrastructure of Ethereum, has enabled the extensive growth of the entire Ethereum network, enabling exponential improvement in terms of speed and lower transaction costs. Flashbots aims to build an efficient, democratized MEV market, which plays a vital role for Ethereum and indeed the entire crypto ecosystem. Aurora, a NEAR-based smart contract compatible with EVM, facilitates Ethereum’s scaling efforts and allows users to take advantage of lower transaction costs.

Other infrastructures such as DeFiYield (an innovative digital asset management tool) and BlockVision (a startup focusing on Web 3.0 data infrastructure) have also attracted a lot of attention. DeFiYield offers professional security protection, a huge audit database and REKT database. The project enables users to manage their digital assets and data across multiple chains/protocols at once with assured asset security. DeFiYield is likely to become an essential infrastructure tool for all crypto users. BlockVision provides a suite of APIs to make building and executing blockchain queries more concise, simpler and more accessible. It also features a development suite and visual stats designed for developers, making development significantly easier. BlockVision now supports multiple chains, including Ethereum, Arbitrum, BNB Chain, Optimism, Polygon, Fantom, and Avalanche.

ViaBTC Capital’s continued focus on infrastructure investments in 2022

New Public Chains: The multi-chain universe has gradually arrived and there will be huge growth prospects and huge market demand for new public chains. Meanwhile, Ethereum- and EVM-compatible chains are also making rapid strides. New public chains like Solana, Avalanche, and Terra are all rising stars in the industry. ViaBTC Capital will continue to monitor the progress of the new public chains as well as their innovations in terms of the underlying architecture, consensus mechanism and user requirements. Ethereum 2.0: ViaBTC Capital believes that Ethereum can reshape the global financial system and become a platform for all decentralized applications in the future. As Ethereum upgrades to PoS, the Beacon Chain, Sharding and Docking will all play a vital role. At the same time, infrastructures, facilities and tools focused on ETH 2.0 can stand out, and plenty of excellent developers and projects will emerge serving the entire ETH 2.0 ecosystem. New storage: Storage, an essential part of infrastructures, meets the demand for data storage from infrastructures and ecosystem projects. Driven by the rise of NFTs, GameFi and new public chains, the market demand for decentralized storage solutions will grow exponentially. As such, the market is in dire need of more established, efficient decentralized storage solutions that come with low costs and fast responses. Development Tools: Development tools span multiple dimensions, including node implementation, validation, smart contracts, APIs, data index and access, etc. According to Electric Capital Developer Report (2021), the number of monthly active developers in 2021 exceeded 18,000, which is a record high. Along with the advancement of the multi-chain universe, the deployment of more DApps and the introduction of more complex applications and contracts, the market will become more demanding for developers. We can therefore predict that developer-friendly development services will have great market prospects.

While ViaBTC Capital’s portfolios span multiple categories, the projects it has invested in share certain common characteristics: they are ecosystem-friendly and visionary, with infrastructure potential and advanced technologies. ViaBTC Capital will track the long-term blockchain infrastructures and is heavily invested in the sector in terms of manpower and technology. It has delivered innovative ideas for the improvement and revolution of blockchain infrastructures while providing constant assistance to top-notch developer teams and quality projects. Such aid is not limited to financing. Instead, ViaBTC Capital focuses on all-inclusive post-investment services, including resource support, institutional resources, technology and business model consultation, etc. In the meantime, it provides in-depth marketing incubation services, helping technical teams fill their marketing deficit.

ViaBTC Capital respects developers who are committed to their ideals and offers them substantial assistance. It is moving towards building the next generation of advanced crypto infrastructures. ViaBTC Capital aims to create the building blocks for blockchain progress, and its investment in infrastructures could be how ViaBTC Capital is paving the way for the blockchain industry.

* The above cannot be relied upon as investment advice.

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