Key Takeaways
- • Accolade Partners is raising $175 million for Accolade Partners Blockchain II LP, its second crypto fund of funds, according to the Wall Street Journal.
- • The fund will invest in about 10 crypto venture funds, per Atul Rustgi, a partner at the firm.
- • Accolade's first crypto fund closed with $124 million in the first quarter.
- • The firm says its first crypto fund-of-funds portfolio is outperforming its non-crypto venture and growth equity funds.
Summary
Accolade Partners, a longtime backer of traditional venture and growth equity funds, is expanding into cryptocurrency-focused venture capital. According to the Wall Street Journal, the firm is raising $175 million for Accolade Partners Blockchain II LP, its second crypto fund of funds. The vehicle will invest in about 10 crypto venture funds, which in turn back cryptocurrency startups, said Atul Rustgi, a partner at Accolade.
The launch follows the first crypto fund, which closed with $124 million in the first quarter. The firm reports that this initial crypto fund-of-funds portfolio is outperforming its stable of non-crypto funds, a claim the firm has put forward as evidence for expanding the strategy.
The raise reflects growing institutional interest in blockchain-focused venture vehicles, a segment the Journal describes as emerging. Accolade's approach uses a fund-of-funds structure, giving investors diversified exposure across multiple crypto venture managers rather than direct startup positions.
Note that the figures above reflect the original reporting; subsequent publisher-linked coverage in the database references later Accolade blockchain vehicles, which are separate from this August 2021 raise and are not part of this story's core facts.
The launch follows the first crypto fund, which closed with $124 million in the first quarter. The firm reports that this initial crypto fund-of-funds portfolio is outperforming its stable of non-crypto funds, a claim the firm has put forward as evidence for expanding the strategy.
The raise reflects growing institutional interest in blockchain-focused venture vehicles, a segment the Journal describes as emerging. Accolade's approach uses a fund-of-funds structure, giving investors diversified exposure across multiple crypto venture managers rather than direct startup positions.
Note that the figures above reflect the original reporting; subsequent publisher-linked coverage in the database references later Accolade blockchain vehicles, which are separate from this August 2021 raise and are not part of this story's core facts.
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