The Most Anticipated Fund Launch of 2024!!!

Experienced Institutional and Crypto-Native Founders Unite to Launch $20M Venture Liquid Hybrid Fund

Arete Capital, a research-led digital asset hybrid fund focused on early-stage private and liquid market opportunities, co-founded by McKenna, ex-head of research at ROK Capital and investor, and Ilya Paveliev, Portfolio Manager at OX1, a CeFi / DeFi market neutral fund, and former TradFi investor, is raising $20M for Arete Capital’s first fund, Fund I, backed by Tier 1 LPs. 

The fund seeks to capture superior returns over a 3-5 year liquidity window by sourcing early-stage private and liquid digital asset opportunities across institutional DeFi, real world assets (RWAs), Web3 gaming and emergent blockchain ecosystems. In other words, verticals poised for immediate growth set to onboard the next wave of on-chain capital and users. 

Arete Capital’s hybrid strategy underwrites and advises category-leading early-stage founders with an average check size of $300K, and strategically position in established liquid market-leading protocols.

What separates Arete Capital from other crypto asset management firms in the space is their unique hybrid investment approach. On the liquid token side, the fund utilizes a fundamentals driven research approach to asset selection, positioning themselves to capitalize on idiosyncratic catalysts across crypto markets. On the early-stage venture side, the fund invests using a first principle derived investment thesis, while utilizing their extensive network to get access to best-in-class deal flow.

Some notable investments in Fund I include: NFTPerp, market leading NFT derivative DEX, that solves liquidity fragmentation problem. Term Finance, a leading fixed-term DeFi lending protocol. Ostium, a novel derivative DEX engineered for real-world assets (FX, commodities and equities), enabling on-chain synthetic exposure to TradFi asset classes. RabbitX, a high-frequency CLOB derivatives DEX built on Starknet. and Endless Clouds. Additionally, Fund I already deployed capital across several category-leading projects across institutional DeFi and Web3 gaming.

Enriched by advisors operating across various sectors of the crypto industry: Collin Erickson (RWA and Insituional DeFi), SparkC (Web3 Gaming) and Odysseas (Web3 Infrastructure), Arete Capital’s goal is to become a long-lasting Tier 1 investment firm with a multi-disciplinary value add brand across their investment focus ecosystems. 

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