Liquid Venture Capital

Capital is flowing into crypto. Over $20B in crypto funds have been raised since the start of 2021 per Dove Metrics. Dry powder is abundant, but liquidity is asymmetrically distributed. Most capital is focused on early-stage, private projects. That’s not sustainable. While retail investors have been able to consume the float of historical crypto ve... See more

the funding landscape in both crypto and the broader venture capital landscape is composed of predominantly passive capital. 

Investing in Web3 projects can be legally trickyVenture capital firms can only invest up to 20% of the fund in liquid assets—more than that, and the U.S. Securities and Exchange Commission says you have to become a registered investment adviser.

None of this bodes well for many of the new VC entrants who have suddenly become enamored by the capital return potential of science. We have a view that real advances in science are relatively rare, that they are hard to produce, and they tend to be signaled by clear research evidence years if not decades in advance. Venture capital is not a fit f... See more

Like most things, though simple, it is not easy. After all, the map is seldom the territory.To hammer this home, below are two things Venture Capital is decidedly not:If you are funding a company to “pour gas on the fire” and replicate/scale already-validated results, that is not venture capital. If you are funding a company to “run the same, prove... See more

Venture investing presented opportunities to discourse with visionaries from a myriad of industries, play a critical role in the innovation life-cycle of companies, and create value and jobs in the process.

Comparison to public markets Quant in venture and throughout private asset markets looks different as agreements can be bespoke, fluid, and negotiated. There is often more significant uncertainty and risk. There is also less liquidity and readily available data than in public markets, but much of this changing and will continue to evolve.