Pantera Capital Secures $125 Million Of $175 Million For The Third Cryptocurrency-Focused Fund
Pantera Capital Raises $125 MIllion For The Third Crypto-Related Fund
Pantera Capital was able to secure $125 million for its cryptocurrency fund. This will be the third fund that the firm is starting. The information was released by CoinDesk on February 21.
As per the information obtained by CoinDesk, only $25 million has been secured since last August. Paul Veradittakit, Pantera partner, explained that are currently in a bear market and fundraising has slowed for the entire industry. He went on explaining that Pantera’s initial fundraising had come from high net-worth individuals and other investment companies in the market.
Additionally, Veradittakit explained that Pantera is having several meetings with institutional investors and even pension funds. Institutions seem very interested in joining the virtual currency market. The new fund will be investing in more mature companies rather than in starting projects.
Veradittakit mentioned that Pantera will be having a more active role in the market and that they also want to have board seats. $75 million will be used for follow-on funding. The first goal is to make an investment of $3 million to $8 million for equity shares of around 15 percent. For seed stage, the fund will be targetting investments between $1 and $3 million for equity stakes oscillating between 10 and 20 percent.
Until now, Pantera invested in 44 different companies. With these funds, the intention is to support between 30 and 50 new firms.
Veradittakit commented about their investments:
“It’s a great time to be investing. I think we have an opportunity here to be investing in companies with good valuations and great teams and that will be around a long time.”
Some of the firms that Pantera invested in include Synethic Minds, Staked and Origin, among others. Pantera has also taken the decision to invest in Bakkt, a regulated crypto exchange specifically designed for traditional investors in the market.