Key takeaways:
- Sequoia’s China arm is reportedly raising between $8 billion and $9 billion in its latest financing round
- Sequoia Capital’s successful investments include the likes of Apple, Google, PayPal, and a series of other highly successful companies
- The firm launched a $600 million crypto fund in February with the aim of pursuing DeFi-oriented investments
Sequoia Capital China is raising between $8B to $9B in new capital according to people familiar with the matter
According to a report from Financial Times, Sequoia Capital China is in the process of raising between $8 billion and $9 billion in new capital, despite the recent cryptocurrency and macroeconomic downturn and foreign investors’ unwillingness to invest in the heavily regulated Chinese market.
Sequoia Capital China is a China-based arm of the American venture capital firm, which has made several successful investments in its 50-year history, including Apple, Cisco, Google, PayPal, and a series of global businesses.
FT, citing sources familiar with the matter, reported that the financing round is slated to close this week and noted that it was 50% oversubscribed. The newly acquired capital will allow the company to invest in China-based startups in need of outside investment.
Sequoia Capital raised $600 million for its cryptocurrency-focused fund earlier this year, with the aim of managing tokens, participating in governance, liquidity providing services, and various DeFi-related operations. The company has previously worked alongside some of the most prominent crypto projects such as FTX, Fireblocks, and Parallel.
It is currently unknown whether the new round of funding will be used by Sequoia’s China arm to pursue investments in the Web3 and broader blockchain space. Recall that Beijing effectively banned the use of digital assets last year, citing concern over regular people making bad crypto investment decisions as the main reason.
