Recursive Capital Secures Fund I to Support African Bitcoin Startups

The firm aims to back early-stage startups in Africa, using the continent’s financial needs to fulfill Bitcoin innovations.

Venture capital firm Recursive Capital, which focuses on investing in Bitcoin companies across Africa, has closed the first round of its Fund I.

The fund saw strong participation from major investors, including Block Chairman Jack Dorsey, former Goldman Sachs partner and Fortress Investment Group Chairman Peter L. Briger Jr., and The Price of Tomorrow author and Ego Death Capital Founding Partner Jeff Booth.

Recursive Capital secures fund I to back African Bitcoin startups

The firm aims to support early-stage startups in Africa, merging the continent’s financial needs with Bitcoin innovation. Recursive Capital believes that Africa, with its booming economy, can lead the world in Bitcoin development.

Abubakar Nur Khalil, the CEO of Recursive Capital and a Nigerian Bitcoin contributor, highlighted that Fund I aims to build a strong Bitcoin ecosystem in Africa, setting the stage for global innovation and contributing to the growth of the Bitcoin industry.

Nur Khalil is also the interim CEO of ₿ Trust, an initiative founded by Jay-Z and Jack Dorsey to support African Bitcoin builders.

As Fund I will focus on backing African Bitcoin infrastructure ventures, mining operations, and companies developing commercial products like exchanges and wallets.

The fund will also support firms working on cutting-edge technologies such as the Lightning Network and Fedimint protocols. Recursive Capital invests equity capital, with average investments ranging between $50,000 and $100,000 per company, to avoid tokenized securities or other alternative funding structures.

Highlighting African Bitcoin companies and mining

Since its launch, Recursive Capital has already invested in several African companies, including Bitnob, which offers Bitcoin-based financial services; Fedi, a platform facilitating collaborative Bitcoin custody; and Synota, which streamlines utility payments through the Lightning Network.

Jack Dorsey has been a strong supporter of African Bitcoin adoption and has been actively involved in the African Bitcoin ecosystem. He participated in the inaugural African Bitcoin Conference in Ghana in 2022 and is set to return for the upcoming conference in Kenya.

In the coming year, Recursive Capital plans to launch Recursive Labs, an initiative to mentor and guide portfolio companies with strategic insights.

The firm also plans to expand its investments in Bitcoin mining, considering Africa’s vast renewable energy resources. Ultimately, Recursive Capital aims to be the leading venture capital firm for African Bitcoin innovation and a global leader in Bitcoin development.