Over the past year, new institutional investors have flooded the digital asset markets. Many have been around for longer, however, and others have even implemented the technology into their operations. COSIMO X is a “tokenized fund” that has led the way in this respect as the blockchain-focused arm of COSIMO Ventures. We sat down with the fund’s co-founder and Managing Partner, Ciarán Hynes, at the Digital Asset Summit in New York to learn more.
What brings you to the Digital Asset Summit in New York?
The summit has been attracting larger investors every year because it’s a great place for us to gather and learn from each other. We want to communicate what we’ve been up to at COSIMO Ventures and generate more opportunities for us and the industry as a whole. You can feel the enthusiasm from everyone since there’s so much to discuss in terms of digital assets.
Could you tell us what drove COSIMO Ventures into digital assets in the first place?
We’ve always been at the forefront of transformational technologies, from the first commercially available financial service on the Internet to the first Internet push notification. Digital assets represent something even more consequential in our view. We saw the potential of this new technology before it reached its Early Majority stage in the cycle of adoption.
What has been your approach to learning about the space and staying up to date with so many new opportunities popping up almost everyday?
Focus is important. We try to stick to what’s relevant to us and our partners and look for opportunities that align with our vision for the future of the industry.
How does using security tokens as “digital shares” improve upon the traditional model for a fund like COSIMO X?
Digital shares enjoy all the benefits of any tokenized asset, from added transparency, to higher liquidity, to lower minimum investment requirements. More and more stakeholders are looking to participate in models like this right now, especially those involved in digital assets. The model has allowed us to extend opportunities to new kinds of investors. It has also benefited the teams we work with by giving them new funding options.
What’s it like to be backed by COSIMO? What can entrepreneurs expect from your involvement and support?
They can expect commitment from our end and help in developing smarter strategies. Also, the fact that we’re a tokenized fund brings an added layer of transparency that’s unique among firms like us. Not only are we able to accommodate their funding needs, we’re also able to develop a healthier relationship with them because of this.