The cryptocurrency hedge fund giant Pantera Capital is set to close a blockchain fund next month that is backed by around $1.3 billion of capital.
The Pantera Blockchain Fund was announced in May of last year, with plans to raise $600 million to invest in early-stage tokens, venture capital, Web3 companies, and highly liquid tokens. It has since significantly exceeded that goal, with the company revealing last month that the fund had surpassed $1 billion.
The latest $1.3 billion figure was noted during an investor conference call Tuesday regarding the company’s new $200 million Pantera Select fund, which will support growth-stage cryptocurrency companies that are poised to generate incomeas opposed to early-stage companies seeking funding through the Blockchain fund.
Although I do not know detailed the closing date of the fundthe CEO of Pantera Capital, Dan Morehead suggested that it might be early May:
“We are closing the Blockchain Fund, I think it will be about $1.3 billion and it will be closed in the next three or four weeks. As some of the big institutions that have very detailed due diligence processes wind down, we will be done with that fund.”
Looking ahead, Morehead also noted that the company will shift its focus to closing Blockchain Fund II 2023, which will “essentially be the same” as the previous variation of the fund and will look to secure more deals in the “early-stage private token space, and new deals in the venture space early.”
“We will come back with a larger, more diversified growth stage fund and probably a longer investment period, say in 2024,” Morehead added.
The Pantera Select Fund is also expected to close in early May with capital of about $200 million. The company stated that the fund will be used to support and scale businesses that are ready to generate revenue:
“The Fund is expected to invest in about 10 companies over the next 18 months or so. We will primarily focus on more mature and income-generating companies than our typical Seed and Series A venture investments.”
Panther stated that The fund will invest in companies across multiple cryptocurrency sectors, such as blockchain infrastructure, non-fungible token platforms, Web3 gaming, the Metaverse, exchanges, and decentralized finance (DeFi).
In the firm’s April 5 newsletter, Pantera’s CEO also stated that the funds will be “smaller, more targeted, and therefore more concentrated than a typical growth fund,” and emphasized his optimism at having multiple deals already in the works:
“For the first time in our nine years, we have three very attractive growth deals closed at the same time. This has led us to offer a special fund to help limited partners gain exposure to these growth-stage deals and another seven or nine that we will invest in over the next year.”
We are now -56% below the 11-year exponential growth trend. The markets have rarely been so cheap relative to the trend.
Crypto is undervalued in my opinion.
More thoughts here: https://t.co/JKVGi8BHwR pic.twitter.com/95F32y6RPc
— Dan Morehead (@dan_pantera) April 6, 2022
We are now -56% below the 11-year exponential growth trend. Markets have rarely been this cheap relative to the trend. Cryptocurrencies are undervalued; that’s my opinion. More thoughts here:
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