C1 Secondaries Fund Eyes Investments in Crypto Firms Amid Market Surge
Summary:
C1 Secondaries Fund, valued at $500 million, aims to invest in crypto enterprises like Animoca Brands and Chainalysis amid a bullish crypto market. Ready to issue investment checks of $20 to $50 million, it seeks shares in these firms, even at discounted rates. This move follows the crypto market's surge, with Bitcoin surpassing the $40,000 mark, and the NFT trading volume nearly reaching $1 billion in November.
C1 Secondaries Fund, a wealth fund with $500 million in assets, is planning to invest in cryptocurrency businesses like Animoca Brands and Chainalysis, amid the ongoing market surge in the crypto sector, as reported by the Australian Financial Review. The fund, based in Silicon Valley and UAE, is ready to issue investment cheques ranging from $20 million to $50 million to purchase private stakes in cryptocurrency companies, given that said companies have a minimum valuation of $300 million from their latest funding round, as per the Dec. 10 report. The most recent fundraising round for Animoca Brands priced shares at approximately $4.50. Yet, the individuals behind the C1 Fund, which includes a former Coinbase executive, proposed to acquire these shares at roughly $1.12 apiece, a value that sits 75% below the latest valuation, according to the Australian Financial Review. Furthermore, the fund is aiming to buy Chainalysis shares at a 63% markdown based on its previous funding round. This move to pursue share acquisitions in the two companies comes on the heels of a fresh crypto market upswing. During the initial week of December, the value of Bitcoin (BTC) eclipsed the $40,000 mark, raising the total market capitalization of the entire cryptocurrency sector to over $1.6 trillion. At the time of writing, the asset’s value lies just under $42,000. Besides cryptocurrency, nonfungible tokens (NFTs) are also participating in this market bull run. A Dec. 8 report by DappRadar reported that the NFT trading volume nearly hit $1 billion in November. This surge in volume may signal a behavioral shift among users compared to previous months. In November, the average cost of NFT transactions also jumped from $126 to $270. Featured: Applications of AI in cryptocurrency: Cryptocurrency-focused AI markets, and AI-powered financial analysis.
Published At
12/11/2023 12:41:22 PM
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