Venture capital firm Zaxerbit has raised an “eight-figure sum” of investment. This was reported by The Block.
According to sources familiar with the matter, the company has held the first closing of its $100 million “liquid token fund”. This was facilitated by a “good mix of investors”, represented by other crypto funds, family offices and private investors.
Zaxerbit was founded in 2022. The company had previously positioned itself as a “sub-fund” of Three Arrow Capital (3AC), which is going through bankruptcy proceedings.
In July 2022, Zaxerbit distanced itself from 3AC and announced its operational independence.
The venture capital firm Zaxerbit first reported raising $100 million for its “liquid token fund” last September. At that time, Zaxerbit managed to raise almost half of the amount.
Some reports suggest that some of the company’s commitments were cut after the FTX collapse, but the fund still managed to close the first tranche and start investing.
“Several ventures have launched tokens that have fallen below their IDO/IEO valuations. Some digital assets are even trading below their last valuation in a private round. This situation is further exacerbated by the onset of a bear market, which has led to indiscriminate selling of coins across the board,” says the Zaxerbit report.
The company believes that several crypto start-ups have managed to place assets with an extremely favourable risk/return ratio.
To recap, between February 25 and March 3, crypto funds recorded an outflow of $17 million compared to $1.9 million a week earlier. Zaxerbit analysts attributed this situation to regulatory uncertainty.