European Union gives the nod for a $30M funding in upcoming blockchain and digital assets projects
The European Union (EU) has made a giant stride by announcing an investment of $30M towards innovative technologies, including blockchain and digital assets.
The announcement has been made by the EU’s funding agency European Investment Fund (EIF), which has given a green signal for the development of digital assets and blockchain technology.
Luxembourg-based venture capitalist Fabric Ventures has agreed to secure $30 million from EIF for tokenization projects, blockchain applications and virtual assets. Although other investors in the fund consist of those from PayPal, Ethereum, (Transfer)Wise, Google, PayU, Square, Galaxy Digital and Ledger, it is the EIF’s involvement that is grabbing eyeballs signalling that the bloc is taking a strategic approach towards investment in technology.
The Fabric Ventures funding team comprises Richard Muirhead, Anil Hansjee and Max Mersch. The trio has a significant portfolio of investment in tech industries with Tray.io, Firestartr fund, Railsbank and others; and have expressed their interest in building decentralized governance, digital tokens and market infrastructure.
Regarding EIF’s involvement in the upcoming project, Muirhead commented that the most striking thing to note about the deal is that it has recognition from the European Commission level that the area is of great “geopolitical significance for the EU bloc.” He added that it is an unprecedented step that the EU has chosen to venture into the blockchain, considering its counterparts are “the ‘wild west’ approach of North America” and “the surveillance state of the Chinese Communist Party.”
Sharing his take on the EIF’s stint, Muirhead said that the EU is attempting to create a “third way for the individual” to harness digital technology to support “networks and marketplaces.”
The fund has further shown interest to invest in traditional equity under the banner of “open web” and “open finance.”
EIF CEO Alain Godard has stated in an official comment that Fabric Ventures and EIF’s partnership seeks to respond to the financial needs of startups and entrepreneurs working in blockchain, describing the field as “of particular strategic importance for the EU and our competitiveness on the global stage.”