What is Multicoin Capital Investment Fund?
Multicoin Capital is a financial investment fund, specializing in investment for companies in the field of cryptocurrency and blockchain. The fund was founded in May 2017 and is currently one of the largest cryptocurrency investment funds in the world.
Since its inception, Multicoin Capital has built a reputation as an independent-minded investment fund with breakthrough values for the future. The Foundation is known for pioneering economic models that use tokens, valuation methods, and even challenging long-held assumptions that are deeply ingrained in the cryptocurrency ecosystem.
As a crypto-based investment fund, the fund’s investment portfolio focuses primarily on blockchain and cryptocurrency projects, especially companies operating in the DeFi sector. More than that, the Multicoin fund understands the cryptocurrency technology landscape and market structure well. Therefore, the fund is very dedicated in providing maximum support to the companies in its portfolio. Currently, Multicoin Capital is managing long-term capital in the name of venture capital funds, family funds, institutions and high net worth individuals.
Multicoin Capital has a team of experienced professionals from all over the world, including Austin, New York and Beijing.
Multicoin Capital’s team includes:
- Kyle Samani – Co-founder/ Managing Partner
Kyle Samani started programming when I was 10 years old, completely fascinated by software. He studied Finance and Management from NYU Stern. As a managing partner at Multicoin, Kyle Samani works closely with the fund’s portfolio, conducting in-depth research and designing investment strategies.
Kyle Samani says that his superpower is the ability to consume and synthesize large amounts of complex information, while distilling core information into understandable explanations.
Before founding Multicoin, he co-founded Pristine, a smart glasses startup. The company had millions of dollars in revenue and raised more than $5 million in venture capital before being acquired by Upskill in May 2017.
- Tushar Jain – Co-founder/ Managing Partner
Tushar leads the Fund’s portfolio construction, risk management and team management. He is passionate about the new blockchain technology economic model and focuses on decentralized financial products, token economics, and blockchain go-to-market strategies. Tushar previously founded ePworthyFinder, a health IT tech startup that raised over $10 million in VC and was acquired by Elligo Health Research. Tushar holds a degree in Finance and Political Science from NYU
- Brian Smith – CFO và COO
Brian leads the company’s finance and operations. He specializes in transaction structure, due diligence as well as legal and financial processes. He has over 18 years of experience in public and private equity investments, investment banking and corporate finance. Brian was previously a public equity analyst at Tiger Management (where he helped found hedge fund Tiger), a private equity investor with Fox Paine & Co., an investment banker in Greenhill & Have. and co-led finance at Bazaarvoice (BV) through the company’s IPO.
- Matt Shapiro – Partner
Matt is the head of investor relations and partner relationship management. Additionally, he is also an expert in structured investing. Matt has 10 years of experience in the banking industry as an investor, financing structuring, capital turnaround, mergers and acquisitions.
- Mable Jiang – Partner
Mable Jiang leads the investment team in Hangzhou. She has a passion for building new business models, applying blockchain technology, cryptocurrency economy and Web3 platform. Before coming to Multicoin Capital, Mable was the manager of Nirvana Capital – a well-known crypto investment fund in Beijing. She also worked in corporate strategy at Didi (Beijing) and has banking experience at Citigroup in New York.
- John Robert Reed – Partner
John Robert is the company’s communications and marketing director. His expertise is in the commercialization of early stage technology and has over a decade of experience in public relations. Before joining Multicoin Capital, John was a Senior Director at Jones-Dilworth Inc. – a well-known marketing consulting company.
Vision and potential of Multicoin Capital
Multicoin Capital has expressed its vision through 3 macro points about the cryptocurrency market.
- First, the future will be the Renaissance of “open finance”. Valuable assets such as real estate, bonds, stocks, currencies … in the future can interact, be programmed and aggregated into a decentralized ledger. As a result, everyone can easily access and use capital more efficiently.
- Second, with the emergence of Web3 (3rd generation of the Internet), Web3 will create a world for users to decide their own data, or “data autonomy”. Since then, breaking the monopoly position of technology giants, the bank is holding a large amount of customer data.
- In the final thesis, Multicoin Capital hopes in a future where it is possible to create a “Global Common Currency” with the first type possibly being “digital gold”, then upgrade in terms of utility and scale of use, in addition to assets other than gold.
From the above points, it can be seen that Multicoin Capital believes that Crypto will create the largest asset movement in the history of the Internet, opening the door to countless services and applications in the future. That is why Multicoin has chosen to invest in cryptocurrencies. The current successes of Multicoin Capital further confirm the fund’s vision is correct.
Currently, the fund has many big names such as Alameda Research, Ribbit Capital, Binance Labs and countless individual investors pouring capital, as well as being a strategic partner for Multicoin Capital. Therefore, the strong growth potential of Multicoin Capital is predictable, especially in the DeFi sector. According to the plan, Multicoin Capital will continue to raise $250 million for the third venture capital fund, which is expected to complete the mobilization by the end of 2021. For this third fund, Multicoin Capital will focus on investing in cryptocurrencies, with an emphasis on companies operating in the DeFi sector. Previously in May 2021, the fund also successfully raised 100 million USD to invest in DeFi and NFT projects.
Multicoin Capital Portfolio
Multicoin Capital aims at projects with a transparent development team, and the Fund itself is always responsible for participating projects when it always supports the project with its best and is responsible for the long-term development.
Multicoin Capital invests in many different fields, but the most focus is still on Layer 1 and Layer 2 projects. And these investment options have brought Multicoin Capital huge profits.
Some outstanding projects:
Solana is a single-chain blockchain (cannot extend second layer). Solana aims to improve the scalability of the blockchain without sacrificing security or decentralization. Solana’s ecosystem uses PoS (Proof-of-Stake) protocol, providing decentralization, high security on a large scale. The foundation of the Solana blockchain is a base-layer with scalability of over 700,000 TPS (transactions per second) without the need to apply a second layer. The project also has a low transaction fee, only around $0.00005.
Terra is a project with the aim of building a new financial infrastructure. The network is built on a pool of stablecoins each of which is pegged to the fiat currency and algorithmically governed by the LUNA virtual currency on the Terra network.
Arweave is a new blockchain protocol that pioneers community-driven and determined permanent data storage.
Audius is a decentralized music streaming platform built with public blockchain infrastructure and other decentralized technologies. Audius allows artists to distribute and receive payments directly from their fans.
Helium is building the world’s first peer-to-peer wireless network.
Helium is creating a new global network for billions of IoT (Internet of Things) devices. The network is powered by Helium Hotspots, which provides wireless coverage and generates Helium tokens. Within minutes, anyone can set up a hotspot and provide connectivity for low-energy IoT devices using LongFi, Helium’s new open wireless protocol.
- Perpetual Protocol
Perpetual Protocol is a decentralized perpetual contract trading protocol for any asset, implemented by the Virtual Automated Market Maker (vAMM). The Perpetual Protocol uses a streamlined system to allow traders to reap the benefits of using xDai scaling without having to set up a wallet.
Livepeer is a platform designed to minimize infrastructure costs for Streaming or Video On Demand applications. Livepeer says they can cut resource costs by up to 50 times compared to traditional methods.
THORChain is a cross-chain liquidity protocol that allows to swap any asset for another in liquidity pools. THORChain creates continuous Liquidity Pools containing Crypto Assets and allows instant Swap of all asset classes together.
Serum is a decentralized exchange (DEX) that operates under the Order book mechanism on the Solana blockchain. The Serum Exchange aims to expand and increase liquidity for derivatives, addressing some of the gaps and structural limitations of the current DeFi.
- Alpha Finance
Alpha Finance Lab (ALPHA) is a DeFi cross-chain platform, a project focused on promoting the building of an ecosystem of financial products and services for users on different blockchains, starting with Binance Smart Chain (BSC) and Ethereum.
Bakkt is bringing trust and utility to digital assets.
Bakkt is building a seamless, open global network to enable users to buy, sell, store and spend digital assets simply, securely, and efficiently. Powered by Intercontinental Exchange’s proven financial markets infrastructure and technology, Bakkt’s secure global platform will connect investors, merchants and consumers, providing access, trading and using digital assets easier, faster and more cost-effective.
- Dfinity (ICP)
Dfinity is a public decentralized cloud platform designed to host the next generation of software and services.
Dfinity is building a new kind of public decentralized cloud computing resource. This is based on a new blockchain computer similar in concept to Ethereum but with greatly improved performance and ultimately unlimited capacity. These Dfinity-powered business applications will be unstoppable and needn’t involve complex components like databases, backup and restore systems, or Amazon Web Services, allowing for a 90% cost reduction costs or more by reducing the required support staff.
Furucombo is a drag and drop tool that allows traders to easily optimize their DeFi strategies.
Furucombo visualizes complex DeFi protocols into cubes. The user sets the input and output, and the order of the blocks, then Furucombo lumps all the blocks into a single transaction and executes it on behalf of the user.
Keep is building a layer of security for Ethereum
Keep is an off-chain container for personal data. Keep helps contracts harness the full power of the public blockchain, allowing for deep interaction with private data. Keep provides a bridge between the public blockchain world and private data. They create a new wave of fundamental innovation for blockchain developers.
- Near Protocol (NEAR)
NEAR Protocol is the most developer-friendly platform for building decentralized applications
Designed and developed by a team of experienced competing programmers, Near Protocol achieves global scale using a novel sharding approach and consensus mechanism known as Nightshade. NEAR provides predictable costs for applications and provides developers with exceptional tools at the protocol level.
Oxygen is a DeFi brokerage protocol that helps traders generate more profits. It helps digital asset traders to generate liquidity, earn interest, borrow assets for short sale, get trading leverage based on asset portfolio.
- Saffron Finance (SFI)
Saffron is a custom asset and risk collateral protocol for DeFi
Saffron is a protocol for tokenizing on-chain assets, including contracts that reduce the accessibility of used capital. Cryptographic ownership of on-chain assets gives liquidity providers more flexibility and uninterrupted access to their underlying collateral while allowing leveraged staking leverage and manage their own risk.
- Skale (SKL)
Skale empowers developers to run low-cost, high-speed smart contracts in Layer 2.
Skale sidechains provide all the benefits of standard sidechains along with the security guarantees of truly decentralized networks. The sidechains are high-performance, configurable, and Ethereum/Web3 compatible.
- The Graph (GRT)
The Graph is a protocol for building decentralized applications quickly on Ethereum and IPFS using GraphQL
The Graph is a decentralized protocol for indexing and querying data from blockchains, starting with Ethereum. It makes it possible for users to query data that is difficult to query directly.
Torus helps users sign in to dApps with their OAuth accounts, such as with Google and Facebook Connect. Torus uses distributed key generation (DKG), a new approach to key management, that works across all browsers and devices, including seamless account recovery without making any assumptions any new trust.
With a long-term vision and the ability to predict market movements, Multicoin Capital is affirming its position as the world’s leading investment fund. This fund promises to make a big contribution to the digital asset transition in the future. Therefore, the investment portfolio of Multicoin Capital can be a reliable reference source for investors.