The Swiss-Singapore crypto bank and Singapore's SBI Ventures is setting up an early-stage fund to invest in companies across Asia and Europe that enable the emerging digital asset economy.
The fund, which has a target of $50 million to $75 million, will be primarily focused on financial market infrastructure and enterprise solutions being developed for the emerging digital asset economy.
Both partners expect to play an active role in the fund’s portfolio companies by enhancing corporate governance and providing business development and operational support. They also intend to tokenize the fund structure to increase accessibility for investors and offer them the potential for greater liquidity post-investment, the announcement said.
Exponential Growth
The digital asset industry is growing exponentially – the blockchain/DLT space attracted $4.7 billion in investments in 2019, accounting for more than a quarter of global private investments in fintech, according to KPMG.
According to Sygnum co-founder and chief strategy officer Gerald Goh, the fund expands the product offering for Sygnum’s clients, providing unique investment exposure to the innovation and growth in digital asset solutions. «At the same time, Sygnum is able to support and accelerate the growth and development of a trusted digital asset ecosystem by investing in the talent and opportunities in the space,» Goh said.
Complementary Expertise
Sygnum and SBI bring complementary expertise and a wide network in Asia and Europe. Sygnum has played a key role in successfully launching a number of Swiss digital asset-focused start-ups over the past two years.
SBI Ventures parent company SBI Group is a founding member of the Japan Security Token Offering Association and a seasoned investor in the space, having invested in prominent DLT companies such as Ripple and R3. SBI Group has assets under management in excess of $4.2 billion.
