As a seasoned researcher with a keen eye for investment trends and a penchant for blockchain technology, I find Pantera Capital’s move to launch Fund V in 2025 particularly intriguing. With over two decades of experience under my belt, I’ve witnessed numerous funds come and go, but Pantera seems to have found a winning formula with their focus on the burgeoning blockchain sector.
In 2025, Pantera Capital plans to debut its fifth investment fund, named Pantera Fund V. This new program is designed to provide co-investment opportunities for its investors, known as Limited Partners (LPs), who are willing to invest a minimum of $25 million.
As a researcher, I’ve come across an interesting detail on Pantera’s website: Large Limited Partners (LPs) with capital commitments of $25 million or above will be granted the opportunity to co-invest in at least 10% of every venture equity, private token, and special opportunity deal that the fund invests over $10 million. Notably, Pantera will waive any fees for these co-investments, which makes it more enticing for large LPs to engage in these opportunities. In their own words, they’ve made it clear that this move is designed to encourage substantial LP participation.
Investors with capital commitments of $25 million or more will be given an opportunity to jointly participate, at their discretion, in at least 10% of every venture equity, private token, and special opportunity deal that the Fund invests over $10 million. Notably, there are no management fees or carried interest charges associated with these co-investment opportunities for eligible investors.
Besides investors who’ve pledged $25 million or more, the investment firm mentioned that there would be space for other Limited Partners (LPs). However, this opportunity is conditional upon having enough room for further investments. In contrast to the large investors, these smaller LPs will incur a 1/10% fee on co-investments.
Flexible Investment Classes for Limited Partners
Investors with Limited Partnership have the opportunity to select their preferred investment categories within the Pantera fund. For example, Class V (Venture) is for those who wish to invest exclusively in venture deals. Similarly, Class I represents illiquid assets, encompassing private early-stage tokens and locked-up treasury tokens that are not easily converted into cash.
The final group is labeled ‘Class A,’ often referred to as the ‘comprehensive class.’ This category provides a blend of venture capital investments and illiquid token investments, creating a diverse investment portfolio. Here’s what they disclosed:
Investors can choose to put their funds into specific ventures (referred to as Class V), or a mix of ventures, early-stage tokens that are not easily exchangeable, and treasury tokens held in reserve (Class I for ‘illiquids’), or the comprehensive option which includes all three categories, called Class A.
Pantera’s Continued Focus on Blockchain as an Asset Class
Pantera Fund V isn’t simply launching; instead, it’s the successor to the Pantera Blockchain Fund (IV), which was introduced in 2021. This new fund is essentially a continuation of that one, serving as a comprehensive investment vehicle for blockchain assets. The company expressed their belief that this is the most effective means to gain exposure within the blockchain asset class. Essentially, this move represents an evolution of the strategies they’ve used over the past ten years across eight venture and hedge funds.
Just like our previous Blockchain Fund (IV), we firmly believe that this latest fund offers the most streamlined approach to investing in blockchain as a distinct asset category. This new fund is essentially an extension of the strategies we’ve been successfully implementing at Pantera for over ten years, spanning across eight venture and hedge funds.
Pantera is planning to collect a billion dollars for their upcoming fund, and they anticipate completing the initial round by the first part of 2025.
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2024-10-02 14:45