Crypto Unicorn Hunters: The VC Firms Behind Billion-Dollar Crypto Startups

The ranks of "Unicorn" companies - privately held start-up companies possessing a current valuation of $1 billion USD or more - have been infiltrated by a growing roster of crypto organizations that are dramatically rising in value.

While the lineup of crypto unicorns are widely-known, the VC firms backing them are quietly positioning themselves to gain the most from the cryptocurrency revolution.

There are currently over 27 fintech unicorns worldwide with crypto platforms such as Robinhood, Revolut, and Coinbase riding a wave of mass adoption and market growth well beyond the billion-dollar mark.

Recent data published by finance intelligence platform CB Insights sheds light on the VC firms behind the success of crypto unicorns, and where they're investing.

CB Insights reveals that cryptocurrency platforms have become highly popular with some of the largest venture capital firms in the world.

Coinbase, valued at $1.57 billion, Robinhood, valued at $1.3 billion, and Revolut, valued at $1.7 billion, are the first three crypto startups to reach unicorn status - growth predicted well in advance by forward-leaning VC firms.

The three most highly valued crypto startups are present in virtually all of the most dynamic fintech-focused VC firms, with a significant portion of investors entering crypto startups in seed or Series A rounds.

CB Insights data highlights London and San Francisco-based VC firm Index Ventures as the fastest-moving fintech unicorn investor, backing both Revolut and Robinhood in Series A rounds, as well as Xapo and Bitpay.

This model allows VC investors greater freedom and flexibility in investments, attracting high numbers of VC investors to the crypto market.

VC firms typically find withdrawing from poorly performing investments - an issue solved by innovative investment models that have evolved within the blockchain industry.