Thursday, December 12, 2013

Venture Capital Bets Big on Bitcoin

NYT reports:
A San Francisco company, Coinbase, announced on Thursday that it had raised $25 million from some prominent venture capitalists in the largest-ever fund-raising round for a Bitcoin company.

The company enables merchants to accept digital money for ordinary purchases, and allows customers to trade Bitcoins and hold them in online wallets. Coinbase hosts 600,000 online wallets, up from 200,000 in August.

The investors behind Coinbase include some of the biggest names in venture capital, like Union Square Ventures and Andreessen Horowitz , which is investing in Coinbase for the first time in the current series B round.

Chris Dixon, a partner at Andreessen Horowitz, is joining the Coinbase board. He used the announcement to extol the possibilities of Bitcoin.

“The designers of the web built placeholders for a system that moved money, but never successfully completed it,” Mr Dixon said. “Bitcoin is the first plausible proposal for an economic protocol for the Internet.”

Coinbase said it planned to use the money to expand its staff and “promote the mainstream adoption of Bitcoin.”


  1. I wonder what these VC firms will do when the government passes law meant to bring under-the-table bitcoin transactions above-the-table?

  2. lol...these pricks must be from the same scool of "economics" as Henry, Mr. Internet Capital Group, Blodgett

  3. Now greed kicks in. Shortly after that crash kicks in.