The well-known cryptocurrency exchange Coinbase announced the establishment of a new venture capital fund, Coinbase Ventures, which aims to provide early-stage investment in cryptocurrency and blockchain startups. According to Emilie Choi, head of corporate and business development at Coinbase, the purpose of setting up the venture capital fund is to provide support for the entire blockchain and cryptocurrency industry.

Emilie Choi wrote:

“At least from the beginning, our goal is to help some key startups in the cryptocurrency and blockchain space to grow. This means that we have no strategic development requirements for these companies, and we will not force partnerships with these companies .Our focus is on building strong relationships and fostering the growth of the entire ecosystem.”

In other words, Coinbase Ventures may invest in some startups that may compete with them. So, as long as they see potential startups in the ecosystem that are in everyone's interest, they will invest.In addition, Emilie Choi also said that the venture capital foundation focuses on entrepreneurs who have worked at Coinbase, and hopes to build an "entrepreneurial alumni network."

Another potential benefit of helping cryptocurrency and blockchain startups grow is more stability for the industry as a whole. After all, the entire encryption industry is now under scrutiny by the US Securities and Exchange Commission, and even in the eyes of some investors, cryptocurrency is almost synonymous with "risk".

However, Asiff Hirji, chief operating officer of Coinbase, said that as more and more sophisticated investors become interested in cryptocurrencies, it will also help curb volatility.