According to Bloomberg, renowned digital asset firm Morgan Creek Digital has successfully closed a new $40 million blockchain-specific venture capital fund. It has done this because of major contributions from two US public pensions.
Initially, the venture looked to raise $25 million.
Morgan Creek Digital
Backed by finance behemoth Morgan Creek Capital, Morgan Creek Digital is a hedge fund. The new venture—called the Morgan Creek Blockchain Opportunities Fund—has been created specifically for investment into the digital asset space.
The two pension plans are based in Virginia. They are ‘anchor investors’ in the new venture capital fund. Other investors include an insurance company, a university endowment, and a private foundation.
Volatility and Regulations
The sizeable investment into Morgan Creek Digital from the two pension funds is notable. It is a rarity that institutional investors make the leap into the volatile and largely unregulated cryptocurrency market. Precisely because of those reasons, many enthusiasts question if digital assets will ever be adopted on a world-scale. Market manipulation, price volatility, and questionable regulations constantly deter major financial bodies and institutions from backing crypto-related projects or investments.