FinTech Collective, a venture capital firm with a focus on traditional fintech and emerging digital assets, has raised a $250m in capital across the two strategies.
This includes a $200m financing to focus on early-stage investments and $50m to focus on open-source, composable financial protocols and applications being built on smart-contracting platforms such as Ethereum.
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According to FinTech Collective, its DeFi strategy will invest opportunities emerging in the decentralised finance space. This is said to include both equity and liquid tokens.
Its current portfolios comprise 20% investments in blockchain and DeFi, including five fintech unicorns.
FinTech Collective was founded in 2012 by managing partners Brooks Gibbins and Gareth Jones.
The firm invest thematically and across capital markets, wealth and asset management, banking-lending-payments, and insurance.
At present, it has 53 companies operating in the US, Latin America, the UK/Europe, and Africa.
The latest funding takes the firm’s total assets under management (AUM) to over $500m.
Gibbins said: “We believe the next 30 years represent an unprecedented period when every facet of financial services will be deconstructed and reconstructed, and our deep global roots, particularly in the New York and European ecosystems, allows us to take advantage of this tremendous opportunity.”
Jones added: “As one of the few truly global fintech investors, we see massive opportunities taking shape over the next decade, including the continued development of the digital assets landscape, where a new monetary system, method of transaction, and digital store of value is being established.
“We anticipate the convergence of traditional finance and DeFi, which is a particularly exciting space for us right now.”
FinTech Collective said it will focus on accelerating shift to digital in traditional finance, the rise of the next several billion consumers into a spending middle class in emerging markets, and improving the digital assets ecosystem.
The firm’s exits include Quovo to Plaid, Reorg Research to Warburg Pincus, and MoneyLion, which is set to go public through a merger with the SPAC Fusion Acquisition Corp. in a $2.9bn deal.
