DeFiance Capital – Arthur Cheong’s venture capital fund has officially returned to the crypto race after many serious and controversial links with Three Arrows Capital (3AC).
According to The Block, DeFiance Capital has completed the first round of funding for a new $100 million liquidity token fund, from existing investment funds and investors. The amount called is about “eight figures”, the source said. With this capital, the fund will start investing right in this March.
In early October 2022, Kyptos reported that DeFiance Capital was in the process of establish a fund of 100 million USD to invest in “liquid tokens” – the term refers to projects that issue tokens that have been listed or are waiting to be listed on exchanges. At that time, almost half of the funds were committed, but that capital dropped significantly after the FTX exchange collapsed.
DeFiance Capital was born in 2020 in Singapore by Cheong, a well-known figure in the crypto community. Although he was “very close” with Three Arrows Capital in the past, but both have “go their separate ways” since after 3AC collapsed last Julydeclared independent operation and There are even rumors of lawsuits.
Announced launch in the midst of market turmoil, DeFiance’s liquidity token fund targets tokens that are trading below the valuation of the IDO/IEO round – a form of fundraising through a token sale that has been quite popular. familiar with the decentralized market.
An investment fund representative said that some project tokens are even being traded below the private valuation. This situation is exacerbated when the bear season becomes more and more raging, leading to a large-scale asset sell-off. Therefore, DeFiance considers this a golden time for investment funds to pour capital and earn profits.