How venture capitalists think crypto will reshape commerce

Venture capitalists are betting billions of dollars to create what in effect is an alternative world of finance, commerce, communications and entertainment on the web that could radically transform major elements of the global economy — all built on the blockchain technology popularized by Bitcoin.

In first three quarters of 2021, venture capitalists poured a record $21.4 billion into cryptocurrency and blockchain-related companies, in 1,196 deals, according to Pitchbook, a market data provider. That is more than five times as much money compared to last year.

No one is placing a bigger bet than Andreessen Horowitz, also known by the nickname A16Z, a Silicon Valley firm whose founders helped build and fund today’s internet.