Lightspeed Faction, a joint venture with Lightspeed Venture Partners, has launched its inaugural $285 million fund, focusing on early-stage crypto and blockchain startups. The fund, exceeding its initial target of $250 million, reflects investor confidence and Faction's commitment to long-term investment in the sector.
With a strategy that is agnostic to specific industry verticals, Lightspeed Faction is set to support a range of projects, including those in DeFi, infrastructure, NFTs, and others that utilize blockchain technology to offer real utility.
Already having deployed about 20% of its capital in companies like Crossmint, Lens, Matter Labs, Narya.ai, and Skip.money, Faction plans a three-year deployment period, emphasizing flexibility in its investment approach. The fund's average check size ranges between $5 to $10 million, enabling it to lead seed rounds and early Series As effectively.
As the crypto market experiences a rally, Faction remains focused on the long-term potential of cryptocurrencies as a key technology trend. The firm's partnership with Lightspeed Venture Partners provides a robust platform for its ventures, while maintaining its unique LP base and investment discretion. Faction's launch is a strategic move, signaling strong belief in the transformative potential of blockchain technology in the decades ahead.