Money is Raining Down on Bitcoin Startups

NEW YORK (InsideBitcoins) — One of the largest miners of bitcoin and the world’s biggest provider of semiconductors, servers and datacenter solutions to the bitcoin and cryptocurrency industry is hedging its continued success by funding digital currency startups. The Bitfury Group has announced the formation of a seed investment fund focusing on providing early-stage capital to new Bitcoin enterprises.

“We are a trusted partner to our customers, and other contributors to the cryptocurrency ecosystem,” said Valery Vavilov, co-founder and chief executive officer of the BitFury Group in a statement. “Our leadership position in cryptocurrency and Bitcoin infrastructure will help accelerate and help grow the significance of other parts in the ecosystem – which in return grows the value of our own core business, and enables us to expand into new opportunities within the industry.”

“BitFury Capital” will be a subsidiary of the BitFury Group and aims to accelerate the growth of the Bitcoin industry by providing seed funding and offering strategic partnerships. It will also have the ability to participate in later-stage rounds by drawing on strategic capital from the BitFury Group.

Additionally, the fund will serve as a link to the knowledge and resources of the BitFury Group to “accelerate startups, and create synergies.” Interested startups and potential partners can reach BitFury Capital at capital@bitfury.com.

The BitFury Group, founded in 2011, has offices in San Francisco, Calif. and Amsterdam, the Netherlands, with computing centers across Finland, Iceland and the Republic of Georgia. The company itself received a venture funding infusion of $20 million in May.