Venture capital investment into Bitcoin has already increased by over 30 percent year-to-date from 2013. The steady rise has been assisted by growing confidence in responsible venture capitalist investors known for sound business practices and more secure approaches to wallet off-line holding of bitcoin, according to CNBC.
Coin Desk reports today that March through May of this year five venture capital funding rounds accounted for $97million of total venture capital invested, or 84 percent. The firms who led these rounds of receiving funding are:
OK Coin (Exchange) $10 million, Bit Fury (Mining) $20 million, Bit Pay (Payment Processor) $30 million, Circle Internet Financial (Universal Financial) $17 million and Xapo (Wallet) $20 million.
Investments made to date according to Coin Desk calculates that $172 million of all venture funding has gone to US companies for 75 percent of the total of all venture funding.
Bitcoin which has attracted investors and merchants due to its ease of transferring money across geographical boundaries without centralized banking systems still finds the US, a favorite haven for the start-ups operating within the bitcoin global ecosystem.
Venture Capitalist Tim Draper, Bitcoin Opportunity Fund and Crypto-Currency Fund have each invested into two companies so far this year with 500 Start Ups making investments in five companies. That is robust activity to start the first half of the year.
The types of bitcoin start-ups receiving money from Tim Draper is a California-based firm named Vaurum. It provides over-the-counter bitcoin trading for institutional traders.
Coin Base which has received $30 million in funding to date is keenly aware that addressing the ease of use, the security and maintenance of an offline wallet is of utmost importance to investors of bitcoin and those who use and those who accept payment in bitcoin.
Another payment company that is gaining popularity is SnapCard, a product of Boost, the San Mateo, California based start-up run by Adam Draper, son of Tom Draper. It announced during tax season that SnapCard would provide payment of taxes with bitcoin.
Bitcoin has found a home globally because the Internet provides a place in which the Bitcoin model can be successful. It can be viewed that the Internet initially allowed easy and flexible transfer of information which led to monetary transactions for merchant, banking and investment exchanges. Now, Bitcoin can move to the next generation of global transfer in a decentralized world of a crypto-currency.