A recent rumor suggests that the venture capital firm Seven Seven Six, which was established by Alexis Ohanian, has plans to raise $177 million for a new fund that will focus on cryptocurrency. Kryptós, the new Seven Seven Six fund, will focus on digital currencies like Bitcoin and Ethereum.
Seven Seven Six Announces the Launch of Its Cryptocurrency Fund, Kryptós, With an Expected Live Date of October
Reporter Kate Clark of The Information stated on August 29, 2022, that Seven Seven Six, led by Reddit co-founder Alexis Ohanian, is seeking investors for a new cryptocurrency-focused fund dubbed Kryptós. The business has funded a number of projects related to blockchain technology, cryptocurrency, and the Web 3. The Rainbow Ethereum Web3 wallet platform also received $18 million, with Seven Seven Six as the lead investor.
Midway through the month of December in 2021, Seven Seven Six and Polygon collaborated to develop a $200 million social media Web3 fund. According to a report in The Information published on Monday, the firm Kryptós is seeking to raise $177 million to invest in cryptocurrency assets. Clark claims that her magazine read the Kryptós fund marketing materials before the firm was given permission to operate as an RIA in April of last year.
The offering documents for the Kryptós fund state that investors may have the “unique opportunity” to purchase crypto assets “at a discount.” Seven Seven Six may now manage the fund and invest in digital assets for a fee thanks to its new status as a registered investment advisor. Katelin Holloway, a founding partner of Ohanian’s venture capital (VC) firm, is mentioned in Clark’s story as adding, “everything is for sale” in terms of potential crypto investment vehicles for Kryptós to acquire. Holloway continued:
If you plan to make a significant investment in this market, now is the time to do it.
Despite the crypto winter, venture capitalists and corporations are still interested in putting money into crypto-related firms, projects, tokens, and goods in 2022. It can compete with investment funds from Sequoia Capital and Andreessen Horowitz due to its ability to invest directly in crypto assets like BTC and ETH (a16z). Seven Seven Six anticipates collecting a 2.5% management fee from Kryptós investors after the fund launches in October 2022.