Two American Public Sector Pension funds Back $40 million Crypto VC
Two American public sector pension funds reportedly supported a new crypto industry venture capital fund with a large tranche totaling $40 million. This deal is being seen as a demonstration of confidence by some of the most conservative types investment managers in the sector.
The Morgan Creek Shelter Humanity Opportunities Fund
Anthony Pompliano (Partner at Morgan Creek Digital), the asset management firm that is backed multi-billionaire investment advisor Morgan Creek Capital Management has announced a new $40m crypto venture fund, anchored with two public pensions. Pompliano (or Pompliano as he is commonly known) declared, “The institutions aren’t coming.” They’re already there.
Fairfax County Police, and Fairfax County Employees’ Pension Plans are the two main funds that provide support for the Morgan Creek Shelter Crypto Opportunities Fund. A private foundation, an insurance company and a hospital are also believed to be involved.
Two American Public Pension Funds Recommend New $40 Million Crypto VC
Fairfax County Virginia
According to some reports, the fund will look similar to a traditional venture fund. It will primarily invest in the equity of companies that are involved in digital assets. The fund will however reportedly have a small amount of capital invested in cryptocurrency. Morgan Creek has invested in companies like Bakkt, Blockfi and Coinbase.
Every Pension Fund Should Purchase Bitcoin
Morgan Creek Digital is working to open up the cryptocurrency markets to pension funds since a while. The Digital Asset Index Fund was launched in August 2018 by Morgan Creek Digital. It is designed to offer pension funds, endowments and foundations as well as wealthy families and sovereign wealth fund access to broad-based crypto investments.
Two American Public Pension Funds Recommend New $40 Million Crypto VC
Pompliano posted in December on Medium that “every pension plan should buy Bitcoin.” He explained how it could happen and said: “It will be time for pension plans to become comfortable with Bitcoin investing. It is important to inform multiple stakeholders and demystify the nascent market. Once one person makes the decision, it creates a cascading effect which leads to hundreds more joining. Bitcoin can save us from our current pension crisis. It takes only one or two brave individuals to make the first move.
