FiveT Fintech, a venture capital specialist, has announced its first exit in the digital asset space amidst a challenging market environment
Zurich, 17 May 2023 - Despite rising interest rates, a banking crisis, and overall weak capital markets, FiveT Fintech successfully sold its stake in Metaco, a Swiss-based crypto custody provider. The exit comes at a time when the digital asset space is gaining institutional momentum. Digital assets, such as cryptocurrencies, tokenized bonds, tokenized equities, or tokenized deposits are becoming more widely accepted and are being used for a growing range of applications, from payments to decentralized finance (DeFi) and beyond.
"Our investments in the digital asset space are a reflection of our belief that this emerging asset class has the potential to fundamentally reshape the financial landscape", said Francisco Fernandez. "While the current market environment is undoubtedly challenging, we remain optimistic about the long-term potential of digital assets and are excited to be at the forefront of this rapidly evolving space."
FiveT Fintech's investments in the digital asset space reflect its commitment to identifying and supporting disruptive technologies and business models that have the potential to create significant value for investors. "The fund's rigorous due diligence process, which includes thorough assessments of market opportunities, technology, team, and financials, was critical in identifying the right opportunity", adds Godefroy Schrago.
"This transaction marks an important milestone for FiveT Fintech, as the second exit of its first fund launched in 2020. We are still early in the process of redesigning financial services through digitization and the use of cutting-edge technologies such as distributed ledgers or artificial intelligence. These technologies will remain at the core of the successor funds’ investment strategy expected to launch later this year", highlights Alexander Christen.
About FiveT Fintech I
FiveT Fintech is a venture capital specialist supporting exceptional entrepreneurs redesigning financial services through digitization and the use of cutting-edge technologies. Formerly known as Avaloq Ventures, the team can leverage on a strong network consisting of banks, asset managers and other financial service providers spread across the globe. Being at the forefront of financial innovation, FiveT Fintech advises banks and financial service providers to venture into new areas and provides fintech companies a platform to prosper and scale.