Key Takeaways
- • 1confirmation closed a $45 million second fund for cryptocurrency startup investments, nearly doubling its initial $26 million first fund, demonstrating validation of its early-stage crypto investing model.
- • Fund II is largely backed by existing limited partners from Fund I, which included prominent names such as Peter Thiel, Marc Andreessen, Balaji Srinivasan, and Brendan Eich, signaling continued institutional confidence in crypto venture investing.
- • The larger fund size will enable 1confirmation to deploy larger check sizes while maintaining its focus on infrastructure and middleware companies building the foundational layer of the decentralized web.
- • General Partner Nick Tomaino, an early Coinbase employee, projects the total crypto asset market value will surpass $1 trillion within five years from the current $272 billion, driven by both continued speculation and emerging mainstream use cases.
- • 1confirmation's portfolio includes high-profile infrastructure and application companies such as BloXroute, Tendermint, OpenSea, and Commonwealth, spanning both startup equity and cryptocurrency token investments.
Summary
Crypto-focused venture capital firm 1confirmation announced the close of its second fund at $45 million, according to CoinDesk. The fund represents significant growth from the firm's inaugural $26 million Fund I and reflects market validation of 1confirmation's thesis around early-stage cryptocurrency infrastructure investing. General Partner Nick Tomaino told CoinDesk that the firm deliberately started small with its first fund to "prove out the model" before raising additional capital, and the successful outcome of Fund I—combined with strong support from its existing limited partner base—enabled the larger second fund deployment.
Fund II maintains continuity with Fund I's investor base, which includes established venture capitalists and technology figures such as Peter Thiel, Marc Andreessen, Balaji Srinivasan, and Brendan Eich, along with Runa Capital and Real Ventures. Tomaino declined to disclose specific new participants but emphasized that Fund II is "largely backed by our existing Fund I LPs," suggesting deep conviction from repeat investors in the firm's investment thesis and track record.
The expanded capital base allows 1confirmation to write larger checks while capitalizing on its positioning as a fund close to crypto pioneers and builders. Tomaino's Fund I strategy focused on providing early-stage capital to founders building infrastructure and middleware for the decentralized web. This thesis aligns with the firm's existing portfolio, which includes companies such as BloXroute (blockchain scalability), Tendermint (consensus protocol), OpenSea (NFT marketplace), and Commonwealth (blockchain governance). 1confirmation invests across both startup equity and cryptocurrency tokens, providing flexibility in how it deploys capital across the crypto ecosystem.
In a blog post shared with CoinDesk, Tomaino articulated an optimistic long-term thesis for cryptocurrency adoption. He noted that while the current crypto asset market stands at approximately $272 billion, with investment and speculation as the dominant use cases, he expects the total market value will exceed $1 trillion within five years as both speculation continues to grow and additional mainstream use cases emerge. This outlook underscores the investment rationale behind a larger second fund and suggests 1confirmation sees substantial runway for infrastructure companies supporting broader crypto adoption.
Fund II maintains continuity with Fund I's investor base, which includes established venture capitalists and technology figures such as Peter Thiel, Marc Andreessen, Balaji Srinivasan, and Brendan Eich, along with Runa Capital and Real Ventures. Tomaino declined to disclose specific new participants but emphasized that Fund II is "largely backed by our existing Fund I LPs," suggesting deep conviction from repeat investors in the firm's investment thesis and track record.
The expanded capital base allows 1confirmation to write larger checks while capitalizing on its positioning as a fund close to crypto pioneers and builders. Tomaino's Fund I strategy focused on providing early-stage capital to founders building infrastructure and middleware for the decentralized web. This thesis aligns with the firm's existing portfolio, which includes companies such as BloXroute (blockchain scalability), Tendermint (consensus protocol), OpenSea (NFT marketplace), and Commonwealth (blockchain governance). 1confirmation invests across both startup equity and cryptocurrency tokens, providing flexibility in how it deploys capital across the crypto ecosystem.
In a blog post shared with CoinDesk, Tomaino articulated an optimistic long-term thesis for cryptocurrency adoption. He noted that while the current crypto asset market stands at approximately $272 billion, with investment and speculation as the dominant use cases, he expects the total market value will exceed $1 trillion within five years as both speculation continues to grow and additional mainstream use cases emerge. This outlook underscores the investment rationale behind a larger second fund and suggests 1confirmation sees substantial runway for infrastructure companies supporting broader crypto adoption.
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