Google Ventures invests in Bitcoin competitor OpenCoin

Google Ventures and China-based IDG Capital Partners place a bet on OpenCoin, the company behind Bitcoin exchange Ripple.

AccessTimeIconMay 14, 2013 at 6:38 p.m. UTC
Updated Sep 9, 2021 at 12:28 p.m. UTC

Presented By Icon

Election 2024 coverage presented by

Stand with crypto

Google Ventures and China-based IDG Capital Partners are the second group of tech investors in two months to place a bet on OpenCoin, the company behind the currently-in-beta Ripple open-source payments protocol.

  • Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
    13:18
    Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
  • Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
    05:10
    Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
  • The first video of the year 2024
    04:07
    The first video of the year 2024
  • The last regression video of the year 3.67.0
    40:07
    The last regression video of the year 3.67.0
  • -- the amount wasn't specified -- with Google Ventures and IDG Capital Partners. (Hat tip to GigaOM for the news.)

    Last month, OpenCoin wrapped up an earlier angel round of funding from another high-profile group of technology VCs: Andreessen Horowitz, FF Angel IV, Lightspeed Venture Partners, Vast Ventures and the Bitcoin Opportunity Fund.

    Co-founded by Jed McCaleb, a veteran of the Mt. Gox bitcoin exchange, and Chris Larsen, who previously established E-LOAN, OpenCoin is developing ripple, an open-source payments platform being touted as a quick, easy and low-cost way to exchange currency of any kind anywhere in the world. Ripples are also the name for the digital form of money (abbreviation: XRP) that will be among the currencies tradable on the ripple platform.

    (Note: OpenCoin is not the same as OpenCoin.org, a different organization developing an open-source electronic cash system.)

    Although ripples are a digital currency like bitcoin, OpenCoin says its coin will complement bitcoin rather than compete with it. In its "Introduction to Ripple for Bitcoiners," the company states:

    "Ripple will likely be the easiest way to buy and sell bitcoins. Ripple's built-in exchange will allow people to buy and sell bitcoins using any other currency on the ripple network."

    Like bitcoins, ripples will also be limited in number. OpenCoin plans to ultimately create 100 billion, releasing half into circulation and keeping half to help ensure the currency's stability.

    describes itself as "a radically different kind of venture-capital fund." Founded in 2009, it has invested in more than 100 companies so far and plans to invest over $1 billion over the next five years.

    is a "China-focused investment firm with over $2.5 billion (US) capital under management."

    Disclosure

    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information have been updated.

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of the Bullish group, which owns and invests in digital asset businesses and digital assets. CoinDesk employees, including journalists, may receive Bullish group equity-based compensation. Bullish was incubated by technology investor Block.one.


    Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.