Two crypto market colleagues have started a hedge fund that will take a “long-only” strategy after receiving $85 million in first-round funding, Bloomberg reported earlier this week.
Pangea Fund Management was recently formed by Ryan Watkins, 25, a former analyst at Messari, and Daniel Cheung, 26, formerly of Jennison Associates.
Pangea is backed by investors including Bain Capital, ParaFi, Alameda Research, Do Kwon of Terraform Labs and Kyle Samani of Multicoin Capital, the report said.
“Our thesis is that in the long run, there’ll be very few winners in each category” within crypto, Watkins told Bloomberg. “So for us, we’d much rather bet on some of the early winners we’re seeing.”
Pangea’s strategy is taking long positions in three to seven established tokens, Watkins said, making the fund unusual when most investment from crypto venture capitalists goes into new projects, the report said.