Whampoa Digital, the digital investment arm of the Whampoa Group, a leading Family Office in Singapore, has set its sights on the budding Web3 sector with a $100 million fund. By the next quarter, it plans to invest the funds in Web3 startups. It will also raise another $50 million for a crypto-related hedge fund.
Details of the Investment Plan
The funds will be invested via Whampoa Digital, the digital asset investment arm of Whampoa Group, Singapore’s biggest multi-family office. According to Shawn Chan, the CEO of Whampoa Group, there was “great conviction” in the space. He added that the venture capital fund would assist them in expanding their footprint in the area.
The focus will be on acquiring equity and token of products and services that enable the mass adoption of Web3. Chan noted that numerous Chinese tech firms and Asian business groups had shown strong interest in the fund. He also noted that the young demographics of Southeast Asia and the high internet penetration made it the perfect region for Web3 mass adoption.
Despite the market downturn, the Whampoa Group executives believe that Web3 stands to offer huge long-term growth potential. According to the Whampoa Group CEO, the first investment will be made in one to three months. Later, they will invest around $50 million in a crypto hedge fund.
Growing Interest in Web3
While the crypto market sentiment is bearish, institutional capital continues to flow into the Web3 sector. It is not the first time Whampoa has invested in the crypto sector. In June, it invested in the $500 million fund established by Binance, which focuses on Web3 investments.
Andreessen Horowitz, a leading venture capital investment firm in the crypto world, launched the biggest fund for the sector, valued at $4.5 billion. The move is expected to significantly boost those creating software and applications in the sector.
According to Aureole Foong, a senior partner at Whampoa Group, while crypto has had a rough year, Web3 and DeFi startups offered huge potential for long-term growth. Foong added that Web3 projects were beginning to find real-world use cases such as international money remittances and the entertainment sector.
About Whampoa
Whampoa is a private investment group founded by the daughter of the first Prime Minister of Singapore, Amy Lee. Before founding the group, she was a senior partner at Lee & Lee, a law firm started by her father, Lee Kim Yew.
Its focus is on high-growth, future-forward investments. Its current investment portfolio comprises around 200 firms established in the past ten years. One of its most successful firms is ByteDance, a Chinese tech firm behind the popular short video social media app TikTok.
Does Web3 Have a Future?
Despite the fact that many people have doubts about Web3, numerous executives in the world of venture capital have given their full support to the sector. They believe that the value propositions it offers are just too appealing to pass up. In due time, Web3 will take the place of Web2. However, this will be a process that takes place over time. There will be no set beginning date or ending date for this event.
