I don't quite understand. So they say:

> We believe that the next wave of computing innovation will be driven by crypto.

But then they also say that [0]:

> Crypto is purely a software movement and doesn’t depend on a hardware buildout, in contrast to, say, the internet, which required laying cables and building cell towers

That doesn't make any sense, though. Crypto heavily depends on specialised hardware (ASICs, GPUs, SSDs, ...) and existing network infrastructure (have fun trying to establish crypto in underdeveloped countries).

I get that products are just based on software and that infrastructure is provided by 3rd parties, but so far very little has come out of crypto in terms of "innovation in computing".

Just a random pick of their investments, ARwave [1], reveals actual regression, not innovation:

> The maintainers of the network are able to filter and screen the transaction in whichever manner they choose, checking against known illicit material, scanning the data with computer vision software, et cetera.

So basically "store data forever, decentralized, no more 404s, no stealth edits, blah", but also "we decide what's actually going to be stored and reserve the right to censor your data however we see fit".

Honestly, I don't see the innovation in that. Most of the other investments are either NFT market places or crypto-based trading platforms. Again, not really an innovation in computing.

Maybe I'm just too illiterate when it comes to decoding marketing speak.

[0] https://a16z.com/crypto/#vertical-landing-investment-thesis

[1] https://www.arweave.org/technology#papers

[2] https://www.diem.com/en-us/

Starting to invest in crypto projects and companies during the onset of a bear market (below 200D MA, after death cross) is a smart move. This seems like a good time to embark on crypto projects, even if we have an upcoming winter.

The coolest thing would be if a16z crypto believed in open access as well, and allowed all accredited investors (due to legislation, unfortunately) to contribute a modest amount.

If we can talk semantics for just one second, it feels like its been ages since the word "blockchain" was coopted from being a technical term into a hype inducing buzzword.

So, it's nice to see someone gently set down the word and use another phrase. In this case "crypto network".

> We believe that the next wave of computing innovation will be driven by crypto. We are radically optimistic about crypto’s potential to restore trust and enable new kinds of governance where communities collectively make important decisions about how networks evolve, what behaviors are permitted, and how economic benefits are distributed. That’s why today we’re pleased to announce a new $2.2 billion fund to continue investing in crypto networks and the founders and teams building in this space. This represents the beginning of an exciting new chapter for the a16z crypto team.

Can somehow explain to me exactly how crypto will do this without intermediaries? If there must be intermediaries then why do you need crypto?

- How can crypto "restore trust"?

- How can it enable "new kinds of governance" - unless "new" means Plutocracy?

- How can any economic benefits be distributed when by definition cryptocurrency holders are accountable to no one (something like a redistribution of funds would eventually require either an intermediary in which all holders are beholden to, or voting, however in either case that's the exact scenario you're in if you hold fiat in a democratic country so I'm not really getting it).

Does this inherently tie A16z to try and destabilize or cast shade at traditional financial markets for the gains of their own funds?

There is an inherent conflict in that they provide returns to their LPs in USD $ while underwriting crypto service companies which partially/wholly rely on the value of crypto to increase over time to increase adoption of services.

The other argument is that it isn't a zero sum game and that both can succeed - however I don't buy that in the long run unless crypto et al. remains an alternative to finance companies. Maybe they split market share and A16z is just diversifying its portfolio of exposure.

A16Z: "It's time to build"

Also A16Z: "We're raising (another) crypto fund"

Also - is this A16z betting on all the surrounding companies of crypto assets? If so - it is not too dissimilar from all the landlords/property holders in San Francisco making money in the gold rush while the miners did not.

I am amazed at the level of exegesis directed at what is effectively a marketing communication. They are "talking their book" and not making unbiased pronouncements on the future...

The value proposition for decentralized, hard money assets and related tech is bear not bull case, about the broader world and economy around us.

It's funny how the attitude between a16z and those generally commenting about crypto in the comments here are opposites.

Human civilization wont use paper money forever nor will people be satisfied with third parties like banks just updating spreadsheets on their behalf forever; there has to be a solution and cryptocurrency is appearing to fill that

Power is decentralizing rapidly with the spread of information and the units of account we use for exchange will need to reflect that

Of course A16Z is enthusiastic about the creation of a financial system not subject to democratic oversight.

Move the hands on the crypto doomsday clock a bit closer to midnight I suppose. Douglas Adams tried to warn us: "[to] revalue the leaf, we are about to embark on a massive defoliation campaign, and ...er, burn down all the forests." https://benoitessiambre.com/specter.html

First, make USD a fiat currency in 1971. Then, print a lot of money during the last 50 years. Now, when non-banking US corporations debt is more than 50% of GDP govt needs a direction where to move in the future to somehow legitimize endless money printing/cheap debt or at least make it look more plausible. More people surveillance/control will not the hurt the government either. One such way may be a "digital dollar", and in that case the government might need new "bankers" and new "credit card" companies. It is wise taking a risk to invest in this technology today. Who knows, maybe tomorrow you will end up an owner of a digital mint.

Crypto is an area of startups that HN collectively is wholly ignorant of because of a rabid and devoted group that despises anything related to blockchain and crypto. It has driven crypto enthusiasts away from commenting, allowing the downvote brigade to take over. There are deep-pocketed investors, talented developers, and very intelligent people in this space (but you won't find them commenting here).