Crypto investment firm 10T Holdings is actually "doing ok" this year despite market volatility surrounding the collapse of FTX, hedge fund veteran Dan Tapiero said at the Token2049 conference in London.
Tapiero added that he wasn't "all that worried" about the fallout and its potential impact on the fund's performance.
"We may underperform on the upside," Tapiero said, referring to results this year. "But we are outperforming on the downside."
Founded in 2020, the investment firm has $1.2 billion in assets under management, according to its website. 10T's portfolio includes crypto exchanges Kraken and Gemini, and The Block reported the firm was raising a third fund in December last year.
The fund stays clear of token investments, targeting equity investments in mid-to-late-stage crypto companies, Tapiero said, adding that it only invests in companies with revenues of $50 million or more. In some cases, those companies themselves may have tokens on their personal balance sheets, he added. Funds from firms such as a16z and Pantera Capital are down more than 50% this year as token prices dropped amid a challenging macro environment.
"We are not looking to be the number one performer, in fact, we are definitely not," Tapiero said, describing the fund's more conservative strategy.
"Even with SBF and with all this nonsense, this is the greatest macro investment I've seen in years," Tapiero said. "I don't know what's a bigger trade than the digitization of money. So that's what I'm trying to play and just capture that."
Disclaimer: The former CEO and majority shareholder of The Block has disclosed a series of loans from former FTX and Alameda founder Sam Bankman-Fried.
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