Swarm, a blockchain for private equity, announced the tokenized Andra Fund will be made available to its investors. Through the Andra Fund, Swarm investors will be able to utilize Bitcoin, Ethereum, Swarm, or the Dai stablecoin to invest in late-stage, pre-IPO technology companies.
“Late-stage pre-IPO technology companies have become their own asset class, growing from $100 billion to $490 billion over the past three years,” Swarm co-founder and CEO Philipp Pieper said. “While one of the most attractive and highest growth asset classes, it is also an asset class traditionally restricted only to closed VC networks or large investment firms. Through the Andra Fund, that door has swung open to the world via Swarm.”
Andra said it allows global investors to participate in top-tier Silicon Valley investments and late-stage high-growth pre-IPO technology companies. The Andra Fund is tokenized through the Silicon Valley Coin (SVC). The coin’s value is tied to the fund’s investments, as each token represents a unit of interest. Andra Capital plans to invest in shares of private, late-stage technology companies that are pre-IPO. The fund maintains a strong network of entrepreneurs, technologists, investors, and investment bankers, which enables access to top-tier investments. Perpetually evergreen, the Andra Fund seeks to increase in value and AUM size.
“Andra Capital democratizes venture capital by allowing permitted global investors unprecedented access to late-stage Silicon Valley investments,” Andra Capital managing partner, Haydar Haba said. “Swarm is a key partner for Andra as they are a leader in the tokenization of real assets, and meet our strict requirements for access, compliance, and tradability. They were the obvious choice for our security token framework partner for the Silicon Valley Coin.”
Swarm Fund is a decentralized capital marketplace that democratizes investing by using the power of the blockchain to open up alternative investment classes to investors through funds using cryptocurrency tokens. It makes traditionally exclusive investment opportunities (such as private equity and hedge funds) inclusive for the Swarm by pooling together smaller investments into larger, institutional-sized blocks, providing fund managers access to a previously untapped capital stack.
The Swarm Blockchain allows real world investment opportunities to be “tokenized” using the SRC20 protocol, a cryptographic standard for security tokens.