By Temitope Olatunji
Edited by Julia Sakovich
Updated
3 min read
Pantera Capital’s Fund V will offer co-investment options and flexible investment classes for blockchain-focused limited partners.
Pantera Capital is poised to launch its fifth venture-style fund Pantera Fund V in 2025. This program will offer co-investment options to its limited partners (LPs) who commit at least $25 million.
Pantera revealed on their website that LPs with capital commitments of $25 million or more will have the right to co-invest in at least 10% of each venture equity, private token, and special opportunity deal in which the fund invests over $10 million. For these co-investments, however, Pantera won’t charge any fee, making it more attractive for large LPs to participate. They said:
“Fund LPs with capital commitments of $25mm or more will have the option to collectively co-invest in at least 10% of each venture equity, private token, and special opportunity deal that the Fund invests over $10mm in. There is no management fee or carried interest on co-investments for those with co-investment rights.”
Aside from those who have invested $25 million or more in capital commitments, the investment firm stated that there will also be room for other LPs. The opportunity, however, will be offered only if there is enough room for additional investments. Unlike the large investors, other LPs will be subject to a small fee of 1/10% on co-investments.
Limited Partners have the chance to choose their desired investment options in the Pantera fund. For instance, there is Class V (Venture). Those who fall into this category will invest only in venture deals. Also there is Class I, which stands for illiquids. This class includes private early-stage tokens and locked-up treasury tokens.
The last category is Class A, which is tagged the ‘all-in-one class’ as it offers a combination of both venture investments and illiquid token investments, providing a diversified portfolio. They revealed:
“Limited Partners have the flexibility to invest in just venture (Class V for “venture”), or in venture, private early-stage tokens, and locked-up treasury tokens (Class I for “illiquids”), or the all-in-one Class A.”
Pantera Fund V is not just starting, as it is the successor to the Pantera Blockchain Fund (IV) launched in 2021, which served as a wrapper for the entire blockchain asset. The firm noted that they believe the new fund is the best possible way to get exposure to blockchain as an asset class. Thus, this move is a continuation of the techniques they have employed at their company for a decade across eight venture and hedge funds.
“Similar to its predecessor, Blockchain Fund (IV), we believe this new fund is the most efficient way to get exposure to blockchain as an asset class. It is a continuation of the strategies we have employed at Pantera for a decade across eight venture and hedge funds,” they stated.
Pantera aims to raise $1 billion for the new fund, with the first closing expected in the first quarter of 2025.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Temitope is a writer with more than four years of experience writing across various niches. He has a special interest in the fintech and blockchain spaces and enjoy writing articles in those areas. He holds bachelor's and master's degrees in linguistics. When not writing, he trades forex and plays video games.
