Akshay Aggarwal to lead Draper Dragon Crypto Fund in India

Bob Coiney

December 7, 2021

Silicon Valley-based Draper Dragon Fund is an early backer of the popular crypto exchange Coinbase, which has decided to enter India. While the Indian crypto community is still awaiting a firm stand on the regulations for digital currencies, this news was enthusiastically welcomed as the fund is likely to invest up to $100 million in Indian cryptocurrency startups. 

Regulatory Uncertainties in India

Recently the Indian government announced that it will take a firm decision on its stand on the use of cryptocurrencies in the winter session of Parliament, which “seeks to prohibit all private cryptocurrencies in India” but allows “for certain exceptions to promote the underlying technology and its uses”.

To prepare for this monumental decision, few venture funds are restructuring strategies and pausing further investments awaiting a final decision. However, Andrew Tang, partner at Draper Associates believes, “Crypto will work out fine in the long run in India,”

So far the Draper Dragon fund has invested in four startups in India, CropBytes, Safle, Pontoon Finance, and Polkamusic. The investment process will be led by Akshay Aggarwal, the co-founder of Blocumen Studios and Blockchained India. 

Venture Capitals and Indian Crypto Market

The large consumer base and the thriving community have attracted the attention of several investors in the Indian crypto and blockchain projects. Venture Capital Funds such as Andreessen Horowitz have also entered the Indian crypto market by investing in Coinswitch Kuber, a crypto-selling platform. Moreover, funds such as Jump Capital and Anter Global have also shown interest in India’s crypto landscape. 

“At the fund, we regard Indian talent very highly. We believe the global impact of the web3 industry is going to have a very strong India quotient. For us, this wave is only starting, we were early investors in the metaverse, we want to push forward on our early success,” Akshay Aggarwal said. “We have ample experience sailing in turbulent regulatory weathers and we intend to provide that as an advantage to the founders we back.”

Akshay Aggarwal will lead this role while following his existing role as the leader of Blockchain India and Blocumen Studios.