Fortis Digital Ventures raises $100M for new crypto fund –

Even as more traditional financial players enter the crypto world, blockchain investor Fortis Digital Ventures is closing a $100 million crypto fund that aims to bridge the gap between the old and new financial worlds.

“Building an investment fund focused on blockchain opportunities allows us to spend our time due diligence on teams and technology in web3, which gives us insight into what is missing in the market,” Mike Boroughs, co-founder and managing partner of Fortis Digital Ventures, told.

The new fund will be managed by former veterans and hedge fund engineers, including Boroughs, who previously co-founded an RIA with $250 million in assets under management, and its co-founder, Chris Capriccio, formerly VP of Engineering at LegalZoom.

The fund aims to make blockchain investing easier through asset allocation, risk management and crypto positioning, the company said. And while it will target traditional investors, only affluent clients will be seated at the table — those who want to invest must invest a minimum of $250,000 and have a net worth of $2.5 million or more, a spokesperson said.

“We want to make sure that people we work with have access to this space, because the resources to invest in it through the traditional routes, such as brokerage accounts, are severely lacking,” Boroughs said. However, given the volatile and complex technical nature of crypto, most traditional investors don’t have “the stomach or skills” to invest successfully or well in the long run, he noted.

While current market conditions may be bearish due to the crypto chaos that caused the market to collapse last week, Fortis’ investment strategy remains steadfast, Boroughs said.

“The general market is likely to see a pullback in the easy money that has flowed to fund even questionable ideas and projects,” he said. “While it’s a headwind in the short term, we see this as a positive in the long run as it means that projects should stand on their individual merits and not just the terms “crypto”, “blockchain” or “web3″ should use assurance in their marketing.”

The company will focus on investing in web3 companies that build better user experiences and solve real-world problems for people or businesses, he said, adding that while weak projects can fail, those with high utility, high scalability and low barriers to adoption will to succeed .

“There is a huge need in web3 for a user experience upgrade, and we believe the best opportunities will be found at the intersection of great technology and great user experience to gain broad mass adoption,” he said. “We see this as a huge opportunity for investors who are willing to stay on track and dig through the rubble to find the gems.”