France’s government-backed bank, Bpifrance, is stepping up its support for the country’s blockchain industry with a fresh $27 million investment aimed at fueling homegrown crypto innovation.
Bpifrance Targets Tokens to Fuel French Crypto Innovation
Announced on March 27, Bpifrance revealed its plan to invest €25 million (about $27 million) into tokens from new crypto and blockchain ventures with strong French roots. The goal is to support projects focused on decentralized finance (DeFi), staking, tokenization, and artificial intelligence.
The move, backed by France’s Ministry of Economy and Finance, is part of a broader push to bolster emerging technologies and expand the country’s role in the global blockchain ecosystem. Despite the sector’s rapid global growth, Bpifrance pointed out that few French investment funds are participating at scale.
French digital and AI minister Clara Chappaz emphasized that a mix of public and private investment is key to ensuring the country maintains a sustainable position in the international crypto landscape.
Long-Term Commitment to Blockchain
Bpifrance’s deputy CEO, Arnaud Caudoux, reaffirmed the bank’s belief in blockchain’s rising importance. He noted that boosting France’s competitiveness in the digital asset space is a top priority, especially with the U.S. accelerating its own crypto strategies.
Speaking at a press conference, Caudoux highlighted that Bpifrance began supporting the blockchain industry years before the U.S. launched similar initiatives. Since then, the bank has invested over €150 million ($162 million) into the space, including funding for crypto hardware wallet maker Ledger back in 2014.
Early Token Investments Show Promise
Bpifrance has been experimenting with token-based investments since 2022. One of its early moves was a deal with DeFi lending platform Morpho, whose token has helped it grow into the 12th largest DeFi protocol by value, now at $3.24 billion according to DefiLlama.
The token-based investment model is becoming increasingly common among venture capital firms. Platforms often set aside a portion of their token supply for backers, with lockup periods to prevent immediate selling. At the same time, tokens are distributed to early public users to build liquidity — although this sometimes leads to price drops as those users cash out.
According to PitchBook, crypto venture capital deals are projected to exceed $18 billion this year, a sharp rise from the $13.6 billion recorded in 2024.
