Pear VC’s Anand Iyer goes solo with new $200M fund for crypto developer tools – TechCrunch

Engineers are the foundation of every technology product, and blockchains are no exception. As the race between different chains intensifies, communities of loyalists are struggling to attract developers to their blockchain of choice in hopes it will spur growth. Competition aside, web3’s big ideas and promises have no chance of seeing the light of day without proper infrastructure and tools.

That’s why Anand Iyer, who has worked at Microsoft as a “developer evangelist” and has tried to get engineers to build on the company’s stack, wants to do the same in crypto — this time as an investor. Iyer, a serial entrepreneur with two successful exits, spent most of last year deepening his interest in web3 as a guest partner at Pear VC and as an instructor teaching a DeFi masterclass to over 2,000 students.

Now, the blockchain enthusiast who started trading Bitcoin in 2013 joins the ranks of a growing group of solo GPs raising venture capital building on their own name and reputation. Iyer has raised $20 million for his seed fund, Canonical Capital, in what he considers an oversubscribed round, he told TechCrunch. Participants in the fundraiser include a range of family offices and individuals from the VC and tech communities, including Coinbase Ventures’ Shan Aggarwal, a16z’s Marc Andreessen and Chris Dixon, Dragonfly’s Judith Elsea, Lux Capital, Mar Hershenson, Haseeb Qureshi Capital and Dan Romero, Semil Shah, Amy Wu of FTX Ventures and Bilal Zuberi, among others, the firm says.

Canonical has already made 16 investments in seed and pre-seed startups that span the developer infrastructure landscape, Iyer said. The portfolio includes the Solana-based NFT marketplace form functionLow-code multi-chain dApp tool thirdweband Web3 messaging launch notification. The company expects to make 40 to 50 investments in its first fund and write checks of between $250,000 and $500,000, it said.

Canonical Crypto's market map showing opportunities in Web3 infrastructure

Canonical Crypto’s market map of various segments within the Web3 developer infrastructure landscape Photo credit: Canonical Crypto

Iyer sees the relatively small size of his fund as a key differentiator in a highly competitive environment. Traditional venture firms like Sequoia, a16z, and Silver Lake have all made recent forays into Web3 developer infrastructure.

“I didn’t want this to be too big a fund or more than 20 million because I can participate in many rounds. I can also invest in the very, very early stages, so I’m not trying to necessarily compete for a percentage of ownership. I can write relatively small checks and still be a significant part of the startup journey very early on,” Iyer said.

Although developer infrastructure has been a hot space for venture investors lately, Iyer still sees it as an untapped area within crypto.

“If you look at DeFi apps or dApps today, I feel like they were built by early adopters for early adopters,” Iyer said, adding that crypto needs more product staff to build infrastructure tools to support its to increase range.

Pear VC’s Anand Iyer goes solo with new $200M fund for crypto developer tools – TechCrunch Source link Pear VC’s Anand Iyer goes solo with new $200M fund for crypto developer tools – TechCrunch

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