Metalayer Launches $25 Million Crypto Venture Fund Led by Former Two Sigma Executives

Metalayer, a crypto-focused investment firm, has launched a new venture fund with an ambitious target of $25 million. The fund has already secured $20 million in its first close, with the remaining $5 million expected to be raised by the end of 2024. The fund’s early backing includes institutional investors, as well as support from prominent executives from Two Sigma Ventures.

Metalayer’s Focus: Crypto and Fintech Startups

The newly launched venture fund is primarily focused on backing startups within the cryptocurrency and fintech sectors. Metalayer has already made investments in three blockchain-related projects, signaling its commitment to driving innovation in the space. The fund’s leadership includes Andy Kangpan, previously the digital asset lead at Two Sigma Ventures, and Mickey Graham, who specialized in blockchain initiatives at Two Sigma.

The firm filed with the U.S. Securities and Exchange Commission (SEC) last week to officially establish its venture fund, ensuring that it operates within regulatory compliance. The portfolio companies already backed by Metalayer include Ethena, which focuses on yield-generating digital assets; Crossover, a crypto exchange tailored for institutional investors; and Clear Token, a blockchain clearinghouse platform designed to streamline financial transactions.

With the growing interest in blockchain technology and digital assets, Metalayer is positioning itself to be a key player in the crypto venture capital ecosystem.

Key Backers: Two Sigma Executives and Family Offices

In addition to institutional investors, Metalayer has garnered support from family offices and blockchain project executives, including leadership from Two Sigma Ventures. This strong backing provides Metalayer with the necessary capital and expertise to identify and support high-potential crypto and fintech ventures. The involvement of executives with deep experience in digital assets further enhances the fund’s credibility and ability to navigate the complex world of blockchain investments.

A Promising Start for Metalayer’s Crypto Fund

With $20 million already secured and additional capital expected soon, Metalayer is poised to make a significant impact in the rapidly evolving crypto and fintech sectors. By focusing on early-stage projects in these areas, Metalayer aims to foster innovation and contribute to the growth of the blockchain ecosystem.

In the coming months, the fund is likely to continue exploring high-potential startups in the cryptocurrency space, supporting them with the necessary capital and resources to scale and succeed.