Superstate, an asset management firm, has successfully closed its Series A financing with a significant $14m.
This milestone marks a key phase in the firm’s journey to revolutionize the infrastructure of investment funds. The Series A funding was impressively co-led by Distributed Global and CoinFund, drawing notable participation from a slew of leading investors including Breyer Capital, Galaxy, Arrington Capital, Road Capital, CMT Digital, Folius Ventures, Nascent, Hack VC, Modular Capital, and Department of XYZ. This financial boost follows Superstate’s previous $4m Seed financing in June 2023, headlined by ParaFi, Cumberland, and 1kx.
At its core, Superstate is redefining the asset management landscape. The firm is actively developing regulated, self-custodied on-chain funds. These innovative funds aim to offer traditional asset exposure through on-chain investment products, merging the realms of traditional finance and digital tokenization.
This pioneering approach offers several key advantages, including investor-directed ownership for quick, free fund movement, programmable and composable tokenized assets, and real-time, transparent, embedded compliance, ensuring transactions adhere to regulatory standards.
The newly acquired capital will fuel Superstate’s ambitious plans. It’s earmarked for expanding their team, launching private funds targeted at institutional investors, and crafting a compliant framework for tokenized, publicly registered investment funds. This strategic investment is poised to catapult Superstate into a new era of FinTech innovation.
Superstate’s trailblazing efforts have not gone unnoticed. The firm has already made significant strides, exemplified by their June 2023 draft prospectus filing with the U.S. Securities and Exchange Commission. This filing outlines the creation of the Superstate Short-Term Government Bond Fund, an innovative open-ended mutual fund with a secondary record of ownership on the Ethereum blockchain.
Adding credence to Superstate’s groundbreaking approach, Co-founder and CEO Robert Leshner shared his vision: “The future of investments are programmable, compliant, and transparent. To date, first-generation tokenized funds fall short; they either function within private blockchains, or exist in off-shore entities, removing access for U.S. investors. Superstate aims to bring on-chain advantages to U.S. investors.”
CoinFund’s Founder & CEO Jake Brukhman also expressed his enthusiasm, stating, “Superstate’s approach to tokenization will bridge the gap between high-quality compliant financial products and the massive advantages and innovation DeFi is poised to offer to traditional finance. We’re excited to be part of their journey as they innovate in the space of real-world assets.”
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