The deal took place for an undisclosed amount. Hedge fund MetaStable had the backing of some of the top venture capital firms.
On Monday, August 15, Dragonfly – the cryptocurrency venture capital firm announced the acquisition of one of the oldest crypto hedge funds MetaStable. However, the details of the amount paid remain under wraps.
Dragonfly managing partner Haseeb Qureshi said that the deal mirrors the broader consolidation in the crypto space. Popular investor Naval Ravikant found hedgefund MetaStable Capital back in 2014. However, later under the company’s new logo, the company dropped “Capital” from its name. Qureshi, who was also a former partner at MetaStable told Bloomberg:
“The bear market has caused a lot of traditional funds and crossover funds to exit the crypto market. We’re the opposite: we’re going deeper, and committing to our crypto-native roots.”
After a brutal first half of 2021, the crypto market is once again in a revival mode. Investments in the crypto space also dried up significantly since the beginning of this year. In such a situation, fresh mergers and acquisitions have come as a welcome move for the crypto community.