Reddit Co-Founder’s Firm 776 Management Raises $500M

Reddit co-founder Alexis Ohanian announced on Twitter that his venture capital firm 776 Management has raised over $500 million across two funds, Reuters reported Tuesday (Feb. 1).

Launched in 2020, the firm has since invested in numerous crypto companies, including bitcoin rewards startup Lolli and crypto tax company Cointracker. With the new funding, Ohanian and the company will invest in more crypto startups.

That should be the majority of 776’s portfolio by the end of this year, Ohanian recently said, but there will be other investments in things like climate, food and space exploration.

776 also recently partnered with Solana Labs’ blockchain venture arm for a $100 million investment towards decentralized social projects, per Reuters. Additionally, it has backed Dispo, a camera-based social media app, and Natalie Portman’s Angel City Football Club.

Reddit is also reportedly planning to go public, having recently submitted a draft registration statement to the Securities and Exchange Commission (SEC). Reddit was last valued over $10 billion after an August funding round.

Read more: Reddit Confidentially Files Draft Registration with SEC for IPO

Reddit was founded in 2005 in Medford, Massachusetts, and has become a popular social media platform. As of last year, it had more than 430 million monthly active users and over 100,000 active communities.

The company became especially well known in early 2021 when one forum on it, r/WallStreetBets, became a major hub for “meme stocks,” meaning stocks that were especially popular with day traders at that time and seeing surges of investments from them.

The company is backed by over $1 billion in private capital from investors like Fidelity Management, Advance Publications, Sequoia Capital, Andreessen Horowitz and others.

Now, the company is headquartered in Silicon Valley, and the company’s previous valuation was $6 billion in February of last year, per a PYMNTS report.

See also: Reddit’s Value Surges To $10B Amid New Funding Round