Australia-based VC firm Future Capital has launched a US$30m global investment fund for bitcoin companies called the Future Capital Bitcoin Fund (FCBF).
The firm – which is led by Domenic Carosa, a tech entrepreneur turned investor – says it is Australia's first dedicated investment fund for the digital currency.
The FCBF is expected to go live this month and it is currently accepting investments in AUD, USD, RMB and BTC. Future Capital is also looking for companies interested in receiving funding.
"Bitcoin has the potential to dramatically alter the manner in which transactions take place across the globe and the power to create new modes of financial connectivity, seamlessly across borders," said Carosa.
Impressive track record
Although the firm is new to the world of bitcoin, the fund is staffed by experienced investors with a good track record in the tech space.
Future Capital says its team has over 50 years of collective investment fund management experience and that it has been involved with more than 100 start-ups in previous funds, which have received more than $150m in investment. The team now hopes to replicate that success in the field of digital currencies.
Applicants will be managed by Holger Arians and Remco Marcelis, seasoned investors and tech company executives.
Arians said cryptocurrencies are the most disruptive innovation he has witnessed in the last decade and that bitcoin could change the way people live, travel and do business.
"We view the emerging bitcoin ecosystem as an investment opportunity that has transformative potential across a raft of social, technology-based and cultural applications and we see great scope for the broader adoption of bitcoin and its related applications to redefine the global payment status quo," Carosa added.
Future Capital says Australia was chosen due to low sovereign risk and its globally recognised financial system. Carosa argues that an Australian-based fund is an exciting opportunity for global investors interested in the bitcoin ecosystem.
The Australian financial sector has a relatively good reputation and the country's legislative framework has a lot in common with other Western systems. Australia is in a rather exotic location, perhaps, but it is regionally adjacent to major Asian financial hubs. Relative proximity still matters, even in a digital economy.
As a result, the FCBF is not exactly the first bitcoin-related investment operation in Australia.
Earlier this year Macro Energy acquired Digital CC and became the first bitcoin company listed on the Australian Stock Exchange. However, Macro Energy is not an investment fund; instead aiming to make its money on mining operations and retail-focused bitcoin solutions.
Australian dollars image via Shutterstock