BitDAO’s Mantle Core looks to raise $200 Mln to aid Web3 startups
- Mantle Core has created a proposal on BitDao’s governance forum looking to seek a $200 million fund
- BitDAO’s treasury would provide $100 million in USD Coin
- $100 million would be provided by external matching capital from strategic venture partners.
On February 26, Ethereum Layer 2 network Mantle Core created a proposal on BitDao’s governance forum looking to seek a $200 million fund dedicated to early-stage Web3 startups.
As per the Proposal, a capital pool of around $200 million would be deployed within the Mantle ecosystem over the next three years.
The discussion proposal revolves around 2 points, one is the authorization to establish Mantle EcoFund 1 of a capital pool of $200M (catalyzed with a target size of $100M from BitDAO), and the other is the authorization of the first capital call, i.e., $10M USDC sourced from the BitDao Treasury.
Reportedly, the initial fund operator is proposed to be Mirana Ventures, Bybit and BitDAO’s venture partner, with an investment committee comprising representatives from Mantle, BitDAO, Mirana Ventures, and Bybit. If the Proposal gets approved, the Mantle EcoFund as well as the venture partners will participate in projects with a 1:1 co-investment ratio. Web3 startups raising pre-seed and series A rounds will be targeted by the ecosystem fund.
“The fund targets to invest in more than 100 projects deployed on Mantle and have a multiple on invested capital of 1.5x of cumulative performance through the fund’s lifecycle,” as per Mantle spokesperson
Like Mantle Core, many companies in the Web3 space are now proactively seeking funding for early-stage Web3 startups. In 2022, leading Ethereum scaling solution Polygon launched a new network for Web3 development, pledging $100 million to early users who can help fast-track adoption.
Last year, Framework Ventures announced it was allocating half of its newly raised $400 million fund to Web3 gaming. In 2022, renowned crypto exchanges KuCoin and CoinDCX also launched Web3 developer funds worth $100 million and $135 million to boost crypto adoption.
BitDAO, a decentralized autonomous organization with a treasury worth over $1.7, launched an Ethereum Layer 2 network called Mantle in November 2022. Transaction fees on Mantle is paid using BitDAO’s governance token, BIT.