Triton Liquid Fund is Now Live

We have two new updates.

First, we are excited to announce that Triton Liquid is now live as a Cayman fund entity, giving investors the opportunity to access our data-driven digital assets investment strategy.

Second, we have been granted our In-Principle Approval (IPA) for a Financial Services Permission from Abu Dhabi Global Markets (ADGM), an international financial center with an established regulatory framework.

As a result, we are now able to take on external capital through our Cayman Fund entity while we progress towards being amongst the first licensed digital assets hedge funds at the ADGM.

You can read more about our fund news here and here. 

To recap our strategy

We combine fundamental research principles with proprietary data analysis to invest in liquid tokens across the entire digital asset landscape.

Our edge:

• Built proprietary dashboards over the past 2-years that track relevant metrics across 24 digital asset verticals
• ⁠Conduct research due diligence with 20+ page deal memos and founder calls, headed by MIT and Princeton alumni research team
• ⁠A digital assets-native team that has built crypto products, decentralized exchanges, and digital asset hedge funds (CIO has invested across 3 crypto cycles)
• Exercise efficient portfolio management and a nimble approach to investing in this dynamic, fast-paced asset class
  

To recap our journey

Triton Liquid was anchored by FJ Labs, a Tier 1 US-based VC (early investor in Alibaba, Stripe, Revolut, Klarna, AirBnB, and Spotify). FJ Labs initially allocated $30M to this strategy in 2022.

We patiently waited for valuations to come down from the euphoria we saw in 2021 and 2022 and started deploying in August 2023. Since November 2023, we have increased our market exposure from 20% to 100%.

We continue to believe now is the optimal time to allocate to liquid crypto. There are a number of tailwinds that are propelling the space this year:

• The macro climate has shifted more favorable to risk assets, with estimated rate cuts this year
• The bitcoin halving is on April 20, further reducing the supply of bitcoin – an event which has historically been a catalyst for the broader crypto market
• 9 bitcoin ETFs were approved in January, and have seen record inflows for ETF products
• Major financial institutions like Blackrock have begun building products on crypto rails, such as BUIDL for institutional investors - providing direct on-chain ownership, trading, and settlement of the tokenized positions 
• Election years in the US tend to be positive for markets, and if there is a regime change in the US, the country’s stance toward crypto could change more favorably
• We continue to see exciting new projects and protocols across various crypto verticals, including AI, decentralized physical infrastructure, real world assets, and decentralized finance

You can learn more about the Triton Liquid approach in the below series:

• The Origins of Triton Liquid
• Liquid Venture Capital
• Process & Market Segmentation
• Data Dashboards for LVC
• Research Process

You can also see our most recent market updates here and subscribe to our newsletter here.

If you are interested in discussing Triton Liquid, please email Triton Liquid CIO, Chris Keshian, at chris@tritonliquid.com.