- DAO infrastructure project Syndicate has raised $20 million in a Series A round
- The Series A was led by Andreessen Horowitz
- Syndicate is building infrastructure that allows users to launch their own DAOs, primarily DAOs that manage and invest capital
Syndicate scores $20 million in funding round led by Andreessen Horowitz
Syndicate, a project creating infrastructure for DAOs (decentralized autonomous organizations), has raised $20 million in a Series A round that was lead by venture capital firm Andreessen Horowitz, but also included over 150 additional participants.
DAOs are organizations that are set up with smart contracts that serve to coordinate members and settle potential disputes. In many cases, membership in a DAO is expressed through a token, with holders having the ability to propose changes and vote on existing proposals.
While DAOs can be used for a variety of use cases, Syndicate is focusing on enabling users to set up DAOs that manage and invest capital. Syndicate says that DAOs can democratize access to investing, as they are much more efficient to set up and operate than traditional investment firms and funds.
Syndicate’s platform is currently running in private beta, and has some funds like Komorebi, Audacity, Fiat Lux, Delphi INFINFT and IDEO Founder Collective already running on its platform. The project says it plans to use the capital from the $20 million Series A to accelerate development of its DAO tech and integrate with Web3 and fintech projects.
Ali Yahya, a general partner at Andreessen Horowitz, commented on the company’s investment in a blog post. Yahya espoused the benefits of DAOs, especially from an efficiency standpoint:
“DAOs are a better, digitally native mechanism for human coordination. They have similar properties as corporations, but they’re 10,000 times faster/cheaper to set up and operate because so much of how they work is expressed in code (rather than legalese) and is fully automated.”
The Series A follows $800,000 in funding that Syndicate raised from 100 of its community members in June. Interestingly, the community raise was conducted with the help of the Syndicate platform itself.
In March of this year, Syndicate raised a $1 million seed round that was led by IDEO CoLab Ventures.
Source link: https://coincodex.com/article/12135/dao-investing-project-syndicate-raises-20-million-in-series-a/