The increasing popularity of Bitcoin and other blockchain based assets has made it really hard for investors to resist. The shifting trend is readily observable in the number and volume of investments being received by cryptocurrency technology based fintech companies. Polychain Capital, a new hedge fund is one such company that has attracted an investment of a whopping $10 million from two big names in venture capital industry.
Started a couple of months ago, Polychain Capital is now a portfolio company of Andreessen Horowitz and Union Square Ventures. The platform was founded by a former Coinbase employee — Carlson-Wee with a capital of $5 million raised from 30 different investors.
Using his experience and insights in the cryptocurrency industry, Carlson has enabled investments into Bitcoin, Ether, and other digital assets through Polychain Capital. The current market scenario, where the demand for Bitcoin and Ether is at an all-time high shows that the trend is only going to go further upwards. As demand increases, the value of these crypto tokens is also bound to go up, making it more profitable for those who invested in these digital currency assets early on.
A financial news publication has quoted Carlson-Wee speaking about his venture,
“There will be many types of assets codified into the blockchain, and they are all not just going to be on the Bitcoin blockchain — it’s going to be a number of different assets here. And the best way to invest in that is a diversified portfolio.”
The flow of investment into the company has further increased investor confidence in cryptocurrencies and commodity backed digital assets. Unlike few Bitcoin-only hedge funds, Polychain Capital has a diverse portfolio of cryptocurrencies. The portfolio is further boosted by the availability of numerous new crypto-tokens created and disbursed by many innovative companies as part of their crowdfunding process.
In Carlson’s own words, someday the market capitalization of all blockchain based tokens could reach trillions of dollars. Polychain Capital is now in the right place at the right time, ready to ride the upcoming wave.
Ref: Forbes | Image: NewsBTC