1confirmation Crypto Fund Supported by Billionaire Mark Cuban to Capture $60 Million in Funding
A report recently released by The Wall Street Journal indicates that 1confirmation, which is backed by Mark Cuban has expressed an interest to launch its second fund. According to the report, which has gone ahead and cited a person with firsthand knowledge of the developing situation has indicated that the crypto investment fund is looking to raise as much as sixty million dollars.
The second round of funding will be used to make investments in crypto projects which are still in their early development stages. According to crypto experts, the crypto fund was able to raise twenty-six million dollars in its initial round of funding held in December 2017.
The fund is officially backed by billionaire Mark Cuban, also known for his roles in Shark Tank, Real Ventures, Runa Capital, and Thiel Capital. By making this pronouncement, 1confirmation will be looking to join other rival investment firms which have announced their intentions to start raising funds in the coming months.
For instance, Pantera, another cryptocurrency investor has also made known plans to start raising one hundred and seventy-five million dollars. The money is to go towards a fund that has been aptly dubbed as the Pantera Venture Fund III. News from the crypto fund indicates that the fund will be closed at the end of quarter 1 in 2019.
1confirmation is managed by Nicholas Tomaino. Nicholas was a former employee at Runa Capital and Coinbase. As was noted by The Wall Street Journal, 1confirmation experienced a notable casualty in the past year in the form of a stablecoin that was shut down, as was reported by TheBlock.
Crypto funds have in the past few weeks become very creative as they try to find new ways to squeeze alpha out of a persistent bear market and ensure that their lights remain on for as long as possible. Ari Paul, who is one of the co-founders of BlockTower Capital, a crypto fund emphasized this point when he stated that his fund has had no option but to start looking for new ways that can help them survive the crypto market downturn.
Paul went on to say that too many in the crypto universe, budgeting is an entirely new concept. In an interview held with The Block on the sidelines of the Consensus Invest Crypto Conference, he added that they have had to start allocating capital in a more prudent manner as they also think about the possible returns on investment. 0
He gave an example stating that if the company was to organize a trip to the Asian continent, then the organizers would have to make sure that the trip would provide them with a value four times than what would come out of a trip to California.
Paul added that having to make tough financial decisions in many cases often leads to better capital allocations. In addition, many crypto companies have started to raise capital that will help them cover all their business expenditures.