Billionaire-backed Hong Kong crypto VC pours $100M into blockchain fund
The Titan Fund, a blockchain-focused venture capital firm backed by Hong Kong billionaire Richard Li, is set to provide support for entrepreneurs in the industry. The fund, which has a particular focus on early-stage startups operating in blockchain infrastructure, fintech, and consumer applications such as gaming, metaverse, and non-fungible tokens (NFTs), aims to empower entrepreneurs to build the next wave of Web3 and blockchain-powered fintech applications.
According to a statement released by CMCC Global, the Titan Fund’s investments will be directed towards equity investments in blockchain companies, rather than digital assets. The fund received a pledge of $50 million from Block.one, with other notable investors including Richard Li’s Pacific Century Group, Jebsen Capital, Winklevoss Capital, and Animoca Brands’ co-founder Yat Siu.
Gemini co-founder Cameron Winklevoss expressed his enthusiasm for the fund, stating that the last five years have seen the emergence of new unicorn companies in the blockchain industry, and the next five to ten years will continue to see this trend accelerate as mainstream adoption of blockchain technology proliferates.
The management of the Titan Fund is a collaborative effort between CMCC Global’s co-founders Charles Morris and Martin Baumann. The institutional-grade fund is entrusted to State Street as the fund administrator, with EY assuming the role of auditor.
While there isn’t a strict mandate specifying the allocation of capital to Hong Kong companies, Baumann stated that the primary focus remains on investing in the most promising entrepreneurs globally. However, two of the fund’s initial five investments have been directed towards Hong Kong-based companies.
The Titan Fund’s investment portfolio already includes notable ventures such as Mocaverse, an NFT project by Animoca Brands, and Terminal 3, a Hong Kong-based company specializing in blockchain-driven digital identity solutions. The fund has also supported international projects like Informal Systems, KickzMeta, Mooncourt, and a San Francisco-based Y-combinator team dedicated to innovating in the tokenization of enterprises and assets.
Hong Kong’s recent introduction of a regulatory licensing program for digital asset operators has sparked interest from various players, particularly cryptocurrency exchanges. However, crypto transaction volumes in Hong Kong experienced a significant drop between July 2022 and June 2023 compared to the previous year, following a turbulent period for the industry.
Despite this decline, the Titan Fund’s commitment to supporting entrepreneurs in the blockchain industry reflects the ongoing potential and interest in the development and adoption of blockchain technology. With the fund’s investments and support, entrepreneurs have the opportunity to build innovative and impactful blockchain-powered solutions.
