Amid the U.S. Securities and Exchange's crackdown on the crypto industry, venture capital firm Andreessen Horowitz (a16z) intends to expand its horizons to the U.K.

The San Francisco-based firm commends the country for what it considers an innovative approach to cryptocurrency and blockchain regulation.
“The UK government sees the promise of web3,” with a keen interest in establishing the country as a hub for web3 innovation, Andreesen managing partner Chris Dixon said.

The UK’s policy framework is uniquely tailored to blockchain and digital asset regulation, reflecting a forward-looking stance by focusing on an outcomes-based approach while upholding consumer protection.

Dixon lauded the UK’s willingness to work with the industry to recognize the distinct traits of blockchain technology.

“The UK also has deep pools of talent, world-leading academic institutions, and a strong entrepreneurial culture,” Dixon added.

Blockchains could cultivate services that are akin to existing digital services, Dixon explained, citing how they empower users, provide seamless commerce with lower transaction fees, and pave the way for innovative media and AI services.

"We are in the early innings of crypto," Dixon noted. Regarding the rapid growth of crypto developers, the number will reach one million by 2030, he predicts.

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First International Office

Slated to open later this year, the Andreessen Horowitz London office will be spearheaded by General Partner Sriram Krishnan.

The team will focus on bolstering the crypto and startup ecosystem throughout the UK and Europe.

"We’ve invested in a number of UK-based crypto companies including Arweave, Aztec, and Improbable. And we are excited to announce our newest investment in UK-based Gensyn,” Dixon said.

Gensyn, founded by Ben Fielding and Harry Grieve, is working on a decentralized computing protocol to enable developers to create state-of-the-art AI systems.

Additionally, Andreessen Horowitz is set to host its next Crypto Startup School in London in the spring of 2024.

The firm anticipates attracting a diverse range of teams from the UK, Europe, and beyond, eager to develop web3 projects.

Support From UK Leadership

UK Prime Minister Rishi Sunak stated, “As we cement the UK’s place as a science and tech superpower, we must embrace new innovations like Web3, powered by blockchain technology, which will enable startups to flourish here and grow the economy.”

“That’s why I am thrilled world-leading investor, Andreessen Horowitz, has decided to open their first international office in the UK — which is testament to our world-class universities and talent and our strong competitive business environment," he added.

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