After securing $115M, UK’s Moonfire Ventures to allocate funds for AI, Web3, and diverse investments

The UK-based VC firm affirms that the fund will back AI, Web3, AR/VR, gaming, work, health, and finance enterprises.

Quick take:

  • Moonfire has wrapped up its second fund, amassing a total of $115 million.
  • The fund from this UK venture capital firm will provide support to companies in various fields, including AI, web3, AR/VR, gaming, and more.
  • In 2021, Moonfire closed its inaugural fund at $60 million prior to the recent closure of its second fund at $115 million.

Moonfire, a venture capital firm based in the UK with a focus on web3 technologies, has recently concluded its second fund, securing an impressive amount of $115 million. The company has revealed that this new fund will specifically target companies operating within various sectors, including AI, Web3, AR/VR, gaming, work, health, and finance.

The company secured a total of $115 million for its second fund, with $90 million allocated to Fund II and an additional $25 million earmarked for investment through its Opportunity Fund.

Moonfire has confirmed its commitment to employing a “data-driven approach” for investment decision-making, as announced on Wednesday. The firm has already forged partnerships with renowned venture capital firms such as Seven Seven Six fund led by Alexis Ohanian, Sequoia Capital, Accel, Index Ventures, General Catalyst, and others.

Moonfire asserts its prominent involvement in 23 funding rounds across various projects, showcasing its leadership in securing investments. These rounds include leading the $15 million Series A for Humaans, investing in Lightdash’s $7 million round led by Accel, and participating in GOALS’ $20 million Series A round with Seven Seven Six.

Founded by former Atomico co-founder Mattias Ljungman, Moonfire’s primary objective is to invest in promising startups. The venture firm relies on custom-built AI models and a comprehensive tech stack to thoroughly evaluate investment opportunities.

According to a report from TechCrunch, Moonfire’s co-founder Mattias Ljungman stated that the company now claims to review “up to 50,000 companies every week,” although TechCrunch has not independently verified this claim.

In spite of this, Moonfire asserts that it has successfully applied the same model to invest in the pre-seed round of UK-based fintech company LiveFlow, co-leading the investment with Seedcamp. Ljungman further explained that the company has refined its investment methodology by combining remote investing with in-person meetings.

Ljungman highlighted that in-person meetings are becoming increasingly prevalent, occurring on a monthly basis. Additionally, Moonfire hosts events such as Pulse and Seed to foster integration between remote and in-person interactions.

On the other hand, Moonfire Ventures partner Mike Arpaia emphasized the core importance of the partnership between AI and venture capital at Moonfire. With the launch of Fund II, Arpaia believes they are taking this partnership to the next level, combining the strengths of both humans and machines in a novel way. The ultimate goal is to revolutionize an industry that has been perceived as inefficient and inequitable.


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