Mar 4, 2021 - Economy

BlockTower Capital raises $25 million fund for decentralized finance

Animated illustration of a hand holding a rotating glowing golden pixel coin.

Illustration: Aïda Amer/Axios

BlockTower Capital has raised a $25 million fund focused on decentralized finance, or "DeFi," projects and assets, Axios has learned.

Why it matters: Decentralized approaches to financial use cases like exchanges, lending and prediction markets, have become more popular as tech seeks to displace traditional intermediaries.

Between the lines: BlockTower's new fund will hold assets longer than some of its other vehicles, giving it the ability to invest in a wider range of assets, including some that are less liquid.

  • Limited partners are said to include veteran investor Howard Morgan (ex-First Round Capital, Renaissance Technologies), historian Niall Ferguson and Milwaukee Bucks owner Marc Lasry.
  • Lasry and former CFTC chairman Christopher Giancarlo also recently invested in BlockTower's main fund, as Bloomberg reported earlier this week.
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