Briefly,
- Dao5 raised $222 Million for its second investment vehicle.
- Capital from the second fund of its crypto-focused investment arm will be used to encourage institutional investments in cryptocurrency. – This latest raise brings the firm's assets under management to about $550 million.
Investment company dao5 raised $222m to close its second investment fund. The firm aims to cultivate institutional interest for cryptocurrencies.
The multi-strategy investment vehicle brings dao5's total assets under management to roughly $550 million, according to the firm's announcement on Thursday.
Tekin Salimi, dao5’s founder and general partnership Tekin said in a Thursday statement that “Crypto has entered its teenage phase.” The dependence of the industry on pure speculation for growth has ceased to be as successful as before.
The fund will target stablecoin networks, “‘state-sovereign artificial intelligence and public onchain infrastructure, the company said.
Dao5’s completion of asecond fund comes as institutional investors flock to digital assets following a crypto market frenzy spurred by the approval last year of spot Bitcoin and Ether ETFs and U.S. President Donald Trump's inauguration in January.
Trump’s first 100 days in office as so-called U.S. crypto president have seen him reducing regulatory oversight, calling for the U.S. Treasury create a Bitcoin Reserve, and issuing orders that protect token mining rights and help guide crypto-friendly policies.
Those directives have fueled investments into cryptocurrencies as well as centralized exchanges and blockchain technology firms, despite the digital assets market's recent seesawing between gains and losses amid a bout of global geopolitical uncertainties.
Meanwhile, a growing spate of public companies such as Rumble, Leef Brands, and Janover have also added—or pledged to add—Bitcoin, Solana or other cryptocurrencies to their corporate treasuries.
dao5 has continued to prepare for the transformation of the fund dao5 into a decentralized autonom organization (DAO). Salimi anticipates that the first steps toward decentralization will be announced in later this year.
George Lambeth is the new General Partner of dao5. This appointment was made to support their growing ambitions. Lambeth's early-stage investment credits include Avalanche and Arbitrum.
“Future success will be determined by the real integration of blockchain technology into global financial, governmental, and private sector systems,” said Salimi, a former partner at crypto-focused venture firm, Polychain Capital.
Since its founding in 2022 dao5 invested in 50+ companies. These include Bittensor Story Protocol and EigenLayer. It said it has fully committed capital of $125 million from its initial fund and that the commitments are returned to their limited partners in a “majority” form.
James Rubin is the editor
