Tim Draper ventures forth as bear market bites

Billionaire venture capitalist Tim Draper initiates new crypto accelerator despite frosty market environment

September 22, 2023 08:39 am

Kevin McGovern/Shutterstock, modified by Blockworks

Venture capitalist Tim Draper has launched a venture studio to boost budding crypto and Web3 startups.

Alon Goren, board member of projects like LunarCrush and Ownera, and David Bleznak, who recently worked on Coinbase’s institutional offerings, join Draper as founding members of the new studio called Draper Goren Blockchain (DGB).

The team indicated that their launch is strategically timed to align with bear market conditions, as they believe many crypto projects will benefit from support to thrive and succeed, according to a statement published Sept. 20.

“It’s a cliche that bear markets are a time for builders to build, but that means there are incredible projects currently being developed that are in need of capital and support,” Draper said.

Newsletter

Subscribe to The Breakdown

Draper is a well-known venture capitalist and entrepreneur, recognized for his contributions to the tech and crypto industries.

In the early 1980s, he founded Draper Associates, a venture capital firm known for its successful investments in prominent tech companies such as Skype, Tesla and Baidu.

Still, he was one of the early backers of the blood-testing startup Theranos, which, as we all know, turned out to be a big flop.

In 2014, he bought around 30,000 bitcoin (worth around $798M at current prices) in a government auction for roughly $18 million, making him an early bitcoin investor.

“With DGB, we are reinforcing our dedication to amplify crypto projects that are advancing the industry in anticipation of an influx of millions of new users and institutions in the coming months and years,” he said.

Draper told Blockworks last year that his firm chose not to invest in FTX and BlockFi.

Despite the challenges faced by the crypto industry in 2022, he emphasized that his investment strategy remained unwavering, as he continued to hold a strong affinity for the decentralized realm.

In a video posted on X, DGB founding member Goren was optimistic about the crypto space despite industry uncertainties, emphasizing the trio’s long-term commitment.

“We’re in the midst of a crazy bear market for all sorts of circumstances. But we were here early, and we’re going to be here often,” he said.

Get the news in your inbox. Explore Blockworks newsletters:

The Breakdown: Decoding crypto and the markets. Daily.
0xResearch: Alpha in your inbox. Think like an analyst.

Tags

Newsletter

The Breakdown

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Digital Asset Summit 2026

Javits Center North | 445 11th Ave

Tues - Thurs, March 24 - 26, 2026

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

buy tickets learn more

recent research

Research

ERC 8004: Introducing Trust for AI Agents

ERC 8004 introduces a new trust layer for AI agents by standardizing onchain identity, reputation, and validation. As agents begin handling capital and coordinating autonomously, trust becomes the key constraint to broader adoption. The rollout mirrors the early x402 narrative, where adoption lagged the initial launch until major integrations and a viral use case pulled attention into the ecosystem. If ERC 8004 follows a similar path, downstream infrastructure tied to the standard could see outsized benefit as the narrative gains traction. The primary beneficiaries are likely to be agent frameworks and launchpads at the distribution layer, agent to agent coordination platforms that enable delegation and payments, and validation providers that offer stronger security and execution guarantees.

by Kunal Doshi