Silicon Valley-based venture capital firm a16z has purchased a 6% or $15 million stake in the MakerDAO (MKR) token – whose main product is Dai, considered to be the first functional decentralised stablecoin.
The move is particularly significant as the person behind the announcement, Katie Hauhn, works for both a16z (a firm owned and managed by Andreessen Horowitz) and Coinbase. In fact, the purchase of MKR was led by Haun, a former prosecutor who was in charge of the first US government task force on cryptocurrencies and the lead investigator into Mt. Gox hacks as well as Silk Road.
“As a first mover and innovator in stablecoins, MakerDAO represents a very compelling opportunity in the crypto space,” says Haun. “MakerDAO’s technology, ecosystem and talent have put theory into action to deliver a decentralised stablecoin that we believe will help drive the future of the crypto economy.”
First functional decentralised stablecoin
The acquisition of the MKR tokens gives a16z a stake in the first functional decentralised stablecoin and the only system built on verified Ethereum smart contracts. The venture capital firm will get involved in MakerDAO’s governance and the Dai Credit System.
Horowitz will provide MakerDAO with operating capital through the next growth stage, three years of support for the MKR community and full operational support from the Andreessen Horowitz firm.
The priorities for a16z are achieving Dai Stablecoin adoption and regulatory support for the coin. “a16z crypto shares our vision for a world where the blockchain has levelled the economic playing field for everybody,” says Rune Christensen, CEO and Co-founder of MakerDAO. “With investment and operational support from a16z crypto, MakerDAO will be able to accelerate evolution, innovation, and adoption of the Dai Credit System.”