The Penn Blockchain Club at Wharton held their second annual conference on blockchain and cryptocurrencies. Ari Paul, the Chief Investment Officer of BlockTower Capital, shared how institutional investors are beginning to invest in crypto, albeit hesitantly.
Several “meaningful” crypto investment funds also have hit the market, Paul said. These are not the reported 100 or 200 funds managing about $5 million of assets and “run out of a 25-year-old’s apartment,” he said. (Their assets got to $5 million because of the stratospheric rise in crypto prices in 2017.) The new crop of crypto funds is heftier: There are about 30 of them in the U.S. with median assets under management of $25 million. Two venture capital funds focused on cryptos also have emerged — spinouts from tech VCs Andreessen Horowitz and Sequoia Capital.
Pensions, endowments and family offices of high-net worth clans are looking at investing in crypto assets as well, Paul said. With more trusted money managers handling crypto investments, institutional investors have been gingerly testing the waters. “They did it indirectly via very, very trusted brands. They’re not investing in cryptos, they’re investing [with] Andreesen Horowitz,” he said. “They’re trusting the brand reputation and the people at the fund whom they’ve had a relationship with.”
Before co-founding BlockTower, Ari was a portfolio manager at the endowment for the University of Chicago. He gave the keynote speech on crypto asset management at the conference.
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By the way, the oldest college stadium in the country turned 125 this year.
The tract of land was given to Penn by the City of Philadelphia in exchange for 50 free scholarships to students from public schools.
When the site was needed to build new dormitories, University administrators applied in 1892 for vacant city land east of campus for use as a new athletic field. With help from alumni, this land was filled in and graded, and given the name Franklin Field.
At 33rd and Spruce streets, the Franklin Field stadium was built for a cost of $100,000 (around $3 million in 2019 dollars). It is the oldest college stadium in the country.
Post by Marcelino Pantoja