Demystifying the family business of “Silicon Valley geniuses”: digital asset enthusiasts

Recently, Meta, the parent company of Facebook, reported that after Paypal co-founder Peter Thiel, Marc Andreessen, another member of the company’s board of directors, may also be in May this year. The board of directors re-elected out.

Mark Anderson joined Facebook’s board in 2008 and is currently the longest-serving director on the board. And his tenure may be forced to shorten because he has invested in a large number of web3-related projects, investing billions of dollars, including the fund company he co-founded AndreessenHorowitz, and his single-family office, nearly a year or two All of them are heavily invested in web3, blockchain, cryptocurrency and other fields.

And Meta is also planning its own web3 project. The latest news states that Meta has applied for 8 USPTO-related trademarks, 6 of which are related to cryptocurrencies and the Metaverse. Meta also plans to bring NFTs to Instagram and Facebook, two social platforms.

With that, the situation becomes a little more subtle. Previously, Peter Thiel was forced to leave the Meta board of directors due to conflicts of interest. With Mark Anderson’s continuous investment in the blockchain, NFT, and cryptocurrency fields, it seems only a matter of time before he leaves the Meta board.

From “Silicon Valley Genius” to Top Investor

Mark Anderson is a Silicon Valley legend. Born in Cedar Falls, Iowa, in 1971, the development of his personality basically began during his time in rural Wisconsin. At the age of 9, he taught himself BASIC programming using books borrowed from the library.

Later, he entered the University of Illinois to study computer science. During this time, he became a part-time assistant at the school’s National Center for Supercomputer Applications, where he made $6.85 an hour writing UNIX code.

It was also here that Mark Anderson learned about the open standards of the World Wide Web by Berners-Lee, the father of the World Wide Web, and with the help of his colleagues, he developed a browser that could run on different computer operating systems, That is, post-Mosaic (Mosaic).

At the time, 90 percent of what Americans browsed online was local content. Mosaic is the first web browser that is widely used and can display pictures in the history of the Internet. Through Mosaic, people can browse the content of the world and open the door to the world for the public.

In December 1993, The New York Times praised Mosaic, calling it “an application so different and so useful that it may have created a new industry from scratch”.

Mark Anderson also caught the attention of Silicon Graphics founder Jim Clark, who was looking for new business ventures. With the $4 million provided by Jim Lack, Mark Anderson successfully IPOed the company in October 1994 after establishing Netscape in October 1994, and once accounted for 75% of the market share in the Internet search engine market. In 1999, AOL acquired Netscape for $4.2 billion, and Anderson made his first fortune.

It was also during this period that the previously unknown Mark Anderson began to take the stage and become a star in Silicon Valley. In 1996, he appeared on the cover of Time magazine under the title “The Golden Geeks.” In a picture published in Time magazine, he was seen sitting barefoot on a throne, and he became famous ever since.

After selling Netscape, Mark Anderson started a second venture. He founded the cloud computing company Loudcloud with Ben Horowitz and Tim Howes. It was the first company to come up with the concept of cloud computing and SaaS, which was later renamed Opsware and was acquired by Hewlett-Packard for $1.6 billion in 2007.

The two ventures made Anderson a huge fortune. Andreessen turned into an investor, co-founding Andreessen Horowitz, a $300 million venture capital fund with Ben Horowitz.

Mark Andreessen of “Technology Wealth” believes that “technology will make the world a better place”, so Andreessen Horowitz has been committed to supporting entrepreneurs who use technology to create and build the future, preferring seed round, early stage and growth stage. Companies, Facebook, airbnb, Twitter, Instagram, Lyft, and Pinterest, etc., have officially entered the field of digital assets since 2013.

Today, Andreessen Horowitz’s assets under management have grown from $300 million to $2 billion, making it one of the largest VC firms in the investment world.

Mark Anderson has also become a man of the year in Silicon Valley, with fame and fortune flying together. In 2021, with a net worth of US$1.7 billion, he will be ranked 1,833rd on the Forbes Global Rich List, and will be included in Forbes Magazine’s “2020 Forbes World’s Best Venture Capitalists List”.

Influenced by Mark Anderson’s enthusiasm for digital assets, blockchain and other technologies, his family office has continued to invest heavily in blockchain, cryptocurrency and other projects in recent years.

Although Mark Anderson is active in the media, his single-family office is rather low-key. Pitchbook information shows that his family office “Mark Anderson” has his strong personal color. The family office is headquartered in Louisville, a suburb of Denver, Colorado. It is active and has only one professional, which should be Mark Anderson himself, and has 11 investment projects.

Because his family office has a very distinctive personal color, he is also deeply influenced by Mark Anderson’s enthusiasm for the blockchain general ledger system in investment, which has produced cryptocurrencies, NFT (Non-FungibleToken, non-homogeneous generation). Coins), the Metaverse, and new technologies such as Web3 that will end the power of Google and Facebook, and ordinary people will be able to own and control their own data.

Recently, the family office has made frequent moves in the fields of blockchain, web3, and cryptocurrencies, including:

In 2018, Anderson, together with David Sacks, the first COO of Paypal, and Elad Gil, co-founder of the genetic testing service platform, invested in Multicoin Capital, an American blockchain investment institution. Multicoin is an asset management company that is optimistic about digital currency. In December 2021, the company led by Electric Capital, and participated by Jump Capital and Sequoia Capital, and completed the Solana block browser Solscan seed round of $4 million in financing. Solana operates the Solscan block explorer and receives 180 million data requests per month.

One of Anderson’s most recent investments is Chicago-based NFT fund Sfermion. Founded in 2019 by author and blogger Andrew Steinwald, a leading figure and thought leader in NFT investing, this funding round will raise $100 million to support NFTs, and the fund has also attracted leading figures in Bitcoin Cameron, Tyler Winklevoss, and Chris Dixon, general partner at Andreessen Horowitz.

As a well-known venture capitalist, Mark Anderson’s investment style and strategy are hard not to have an impact on the investment of his family office.

Avid digital asset enthusiast

As the co-founder of Andreessen Horowitz, we can also see Mark Andreessen’s investment direction and strategy from the company’s investment style.

New technologies such as blockchain, cryptocurrency, and NFT are also key investment projects of Andreessen Horowitz.According to CBInsights, in 2020, Andreessen Horowitz invested in 6 related projects. The investment projects cover a variety of fields, including financial services, enterprises, fintech, consumption, media, entertainment, healthcare, etc.

By 2021, the company has invested in 43 blockchain and crypto-related investment projects at once, 7 times that of 2020, including BoredApes’ YugaLabs, Sam Altman’s dystopian “Worldcoin”, and Bitcoin project NEARProtocol Wait. In the same year, Andreessen Horowitz also announced the establishment of a $2.2 billion fund to invest in startups including blockchain and digital assets.

“We believe that the next wave of computing innovation will be driven by encryption,” said firm partners Katie Haun and Chris Dixon.

Andreessen Horowitz is an avid fan of digital assets. How much does Andreessen Horowitz do to invest in digital assets such as blockchain and cryptocurrencies?

As early as 2019, due to SEC regulations, digital asset investments such as cryptocurrencies and blockchain are “high-risk” investments. Such equity investments, as well as secondary market transactions or fund or token investments, must not exceed 20% of traditional VC funds. In order to break through the 20% limit, Andreessen Horowitz directly announced that it would abandon the original VC model and transform into a financial consulting company, thereby increasing investment in digital assets such as cryptocurrencies, with the goal of half of the $2 billion it manages, 10 billions of dollars invested in blockchain, cryptocurrencies, and more.

In fact, Andreessen Horowitz is currently the largest investment institution in the field of digital assets.

It can also be seen that Andreessen Horowitz and Mark Anderson attach great importance to digital assets, which also reflects his understanding of technology, society and finance.

Mark Anderson once said, “Never invest in what you don’t understand” when it comes to investment philosophy. As a venture capitalist relying on the Internet and technology, he has always believed that technology can change the world.On Andreessen Horowitz’s official website, he once wrote an article “Technology Saves the World”, talking about how technology has changed people’s lives, work and study during the epidemic.

In his eyes, which technologies will have a profound impact? The answer is: the personal computer in 1975, the Internet in 1993, and now, bitcoin in 2014.

In an interview with Bloomberg Weekly, he mentioned why digital assets are a long-term investment option? Because one of the properties of digital assets is that they can create a relationship of trust in an environment where trust is lacking. He believes that virtual currencies represent a “fundamental technological change,” and as such, cryptocurrencies and blockchain technology are much more important than money. He even blocked web3 on Twitter because Twitter co-founder and former CEO Jack Dorsey attacked the latter.

As an investor, he will choose to invest in those “significant and influential” companies for long-term holding, and is more inclined to intervene in the seed round and growth stage, so as to avoid premature commercialization of the company in order to survive.

However, when choosing projects, Mark Anderson also has a “hobby”: he will choose those projects that have intersections with founders and CEOs.

Every year, Andreessen Horowitz receives about 2,000 investment projects. He evaluates the founders and CEOs of these startups and selects about 40-50 projects.

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/demystifying-the-family-business-of-silicon-valley-geniuses-digital-asset-enthusiasts/
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