BLOCKCHAIN COINVESTORS OPPORTUNITIES

Blockchain Coinvestors Newsletter

Vol. 4, No. 8, March 2022

BLOCKCHAIN COINVESTORS OPPORTUNITIES

This week we will roll out the following fund and coinvestment opportunity nomenclature.

As we ramp up the breadth and variety of investment opportunities you will see, we want to ensure that you are never confused about what we are providing to you. For example, some opportunities are early stage, some mid stage and some late stage. Some derive from our core Blockchain Coinvestors platform with its proprietary access and asymmetrical information advantage, while others derive from our many decades of Fintech and Web investment experience and reputation.

Should you have any questions please feel free to contact us at IR@blockchaincoinvestors.com or reach out to any Blockchain Coinvestors team member directly.

Blockchain Coinvestors Investment Opportunities

Nomenclature

A. Funds

We manage funds within two fund managers (Blockchain Coinvestors and KCBF, the latter being for Keiretsu members only), however, for simplicity our fund nomenclature is as follows:

  • Fund I - KCBFOF I

  • Fund II - Blockchain Coinvestors II

  • Fund III - Blockchain Coinvestors III

  • Fund IV - Blockchain Coinvestors Early Stage Token

  • Fund V - KCBFOF II

Given US regulations, we can not use the legal names of funds in external communications.

Additional funds, including those in process, will be added onto this according to their date of launch.

B. Coinvestments

At Blockchain Coinvestors we have worked for a decade to create our unique sustainable competitive advantage (USCA) in blockchain, web3, and fintech investing. This USCA derives from the fact that we are investors in, and have developed relationships with, more of the best blockchain, web3, and fintech funds than anyone else - as far as we know. To this we add a team with more than 100 years of collective investment experience in these sectors.

This in turn gives us proprietary access and asymmetric information that informs our coinvestment opportunities.

For clarity going forward we will classify the coinvestment opportunities according to the following nomenclature:

  • Coinvestment Opportunity: [Name of Company] - [Stage] [Sector] [Other information if needed]

Examples of prior investments:

  • Coinvestment Opportunity: Coinbase - Mid Stage, Blockchain

  • Coinvestment Opportunity: Uphold - Mid Stage, Blockchain

  • Coinvestment Opportunity: Wyre - Mid Stage, Blockchain

  • Coinvestment Opportunity: Filecoin - Early Stage, Blockchain, private round token offering

  • Coinvestment Opportunity: DappRadar - Early Stage, Blockchain, being offered only on AngelList syndicate

  • Coinvestment Opportunity: Brex - Late Stage, Fintech

  • Coinvestment Opportunity: Pacaso - Late Stage, Fintech

Examples of current coinvestments:

  • Coinvestment Opportunity: Helix - Mid Stage, Blockchain

  • Coinvestment Opportunity: FlipSide Crypto - Mid Stage, Blockchain

  • Coinvestment Opportunity: NFTPro - Early Stage, Blockchain, being offered only on AngelList syndicate

  • Coinvestment Opportunity: NewFront Insurance - Late Stage, Fintech

If you are interested in any of the current coinvestments, some of which are about to close, please contact us at IR@blockchaincoinvestors.com.

This nomenclature provides important information for you as you consider the breadth and depth of Blockchain Coinvestors opportunities that you could see if you are a member of our investment circle.

As always, we appreciate the input many of you have given to us, and we welcome any additional comments.

The good news is that we are getting an increasing number of attractive opportunities across blockchain, web3, and fintech in each of the early stage, mid stage and late stage. The bad news is that this will likely make the need for structure and process even more important going forward. We hope you agree with us that being at the leading edge of the movement towards digital monies, commodities and assets and the transition towards our digital future is worth the extra time required to review and select where to participate.

Thank you for reading.

Alison Davis

Matthew C. Le Merle

Digital Assets Week is coming to California: March 22nd and 23rd in San Francisco, and March 25th in Palo Alto. The focus over the 3 days is on digital security, digital assets, and institutional crypto. We invite you to join Matthew Le Merle at the event to learn from the sector's most experienced leaders. Along with Matthew, other speakers include:

  • Chris Larsen, Executive Chairman, Co-Founder, Ripple

  • Scott Lucas, Managing Director, Head of Digital Assets, JP Morgan

  • Matthew McDermott, Managing Director, Global Head of Digital Assets, Goldman Sachs

  • Andrew Peel, Head of Digital Asset Markets, Morgan Stanley

  • Mike Belshe, Cofounder and CEO, BitGo

  • Chris Rice, Head of Digital Assets, Credit Suisse

  • Ryan Marsh, Global Head, DLT & Digital Innovation, Securities Services, Citi

  • Andy Tang, Partner, Draper Associates

  • Greg Brogger, Founder, SharesPost Inc

  • Michael Ashe, Head of Investment Banking, Galaxy Digital

  • Justin Chapman, Head Market Advocacy & Innovation, Northern Trust Corporation

  • T Prasanth Mathew, Managing Director, Cash Management – Head of Global Fintech & Platform Sales and US Tech Sales, Deutsche Bank

  • Jamie Finn, Co-founder and President, Securitize

  • Dave Hendricks, CEO & Cofounder Vertalo

We look forward to seeing you later this month. Registration is available here for those interested in attending.

ABOUT BLOCKCHAIN COINVESTORS

Launched in 2014, our goal is to provide broad coverage of the emerging unicorns and fastest growth blockchain companies and crypto projects. The strategy is now in its 9th year and has to date invested in more than 30 pure play blockchain venture funds in the Americas, Asia and Europe; and in a combined portfolio of 300+ blockchain and crypto projects including 30+ blockchain unicorns. Our funds rank in the top decile amongst all funds in their respective categories on both Pitchbook and Preqin. Headquartered in San Francisco with a presence in Grand Cayman, London, New York, Zug and Zurich, the alternative investment management firm was co-founded by Alison Davis and Matthew Le Merle.

FUND PERFORMANCE

Blockchain Coinvestors Funds are continuing to generate strong returns. As of Q2 2021 our funds rank in the top decile amongst all funds in their respective categories on both Pitchbook and Preqin with Net IRR exceeding 60% for Funds I and II. This remarkable performance results from powerful tailwinds driving the world towards a future in which digital monies and digital assets are ubiquitous and the businesses and projects providing blockchain and crypto products, services, and infrastructure benefit disproportionately.

BLOCKCHAIN COINVESTORS FUNDS

Blockchain Coinvestors’ goals are to provide broad coverage of the emerging unicorns and fastest growth blockchain companies and to capture superior returns from investing in the leading blockchain venture partnerships:

Fund III is open only to investors who meet the Qualified Purchaser definition with a minimum subscription of $250,000.

A “qualified purchaser” is an individual or a family-owned business that owns $5 million or more in investments. The term “investments” shouldn't include a primary residence or any property used for business.

Fund III Parallel is open to investors who meet the Qualified Client definition with a minimum subscription level of $250,000 at the discretion of the Manager. Please contact ir@blockchaincoinvestors.com if the minimum is of concern.

Currently, an individual or entity is a qualified client if he, she, or it: (i) has a net worth of $2,200,000 prior to investment in the fund (excluding the value of his or her primary residence).

While the two funds are substantially the same, there may be some funds and investments that are only available in the Qualified Purchaser vehicle. Blockchain Coinvestors funds can take investments via IRAs. We support several providers, including AlgoIRA, Kingdom Trust, Millennium Trust Company and Pacific Premier Trust Company (Pensco).

Blockchain Coinvestors has launched an Early Stage Token Fund that is open to investors who meet the Qualified Client definition with a minimum subscription level of $250,000 at the discretion of the Manager. This Fund expects to have access to early stage tokenized projects that few others can access through its relationships with other leading blockchain investors. The Fund will target 20 to 30 SAFTs as well as positions in traded tokens when excess capital is on hand. This is a continuation of the direct token investing strategy of the Fund Manager that has included private stage investments in Acala, Filecoin, NEAR, Polkadot, Structure, and others.

Please visit the Blockchain Coinvestors website to learn more about our offerings. You can also reach our Investor Relations team directly at ir@blockchaincoinvestors.com.

BLOCKCHAIN COINVESTORS SWISS

We are excited to announce that Blockchain Coinvestors Funds are now available through Swiss certificates for those of our non-US investors who prefer this approach. The underlying fund is the same, however, our Zurich based team at Blockchain Coinvestors Swiss, who will introduce in future weeks, can provide detailed information regarding this investment option. Email us at mlemerle@fifthera.com to learn more.

BLOCKCHAIN COINVESTORS ANGELLIST SYNDICATE

Continuing the theme of the democratization of investing, we have a rapidly growing Blockchain Coinvestors syndicate on AngelList providing access to selected coinvestments. Please join us and our partner Lou Kerner on AngelList.

Click here to receive the insightful weekly crypto newsletter and webinar invitations from our Blockchain Coinvestors partner Lou Kerner.

REGISTER NOW FOR UPCOMING WEBINARS AND CALLS

Our investment team hosts bi-monthly webinars and calls to help educate our community about the Fifth Era, fintech, blockchain and crypto. We discuss important trends, tailwinds and investment themes including what we have learned and how we are using our knowledge to inform our own investment thesis and actions. Below is a list of upcoming webinars for which you can register by clicking the links:

What are SPACS and State of the Current Market?

- March 28th, 7:00am PT

- March 28th, 11:00am PT

Institutional Investors - Making the Case for Blockchain

- April 4th, 7:00am PT

- April 4th, 12:00pm PT

Options for Investing in Blockchain & Crypto
- April 18th, 7:00am PT
- April 18th, 12:00pm PT

Recordings of past webinars and calls can be found at www.blockchaincoinvestors.com/webinars.

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