This hedge fund plans to raise $500 million for AI and Blockchain investments

North Carolina-based hedge fund manager Morgan Creek Digital plans to raise roughly $500 million for a new fund focused on investing in artificial intelligence (AI), blockchain technologies, chips and opportunities of data

According to a press release, Morgan Creek’s new fund will invest in early-stage companies that combine the power of AI with blockchain technology and associated chips to unlock the value of data.

Morgan Creek to raise $500 million for new fund

Morgan Creek is looking for technology that overlaps industries, such as high-performance chips that can be used to mine Bitcoin or train AI models in data centers.

The hedge fund manager is already in discussions with partners, sovereign and institutional investors and corporate officers in various regions, including Europe, the United States, the Middle East and Africa (EMEA) and Asia Pacific (APC). It also intends to expand its regional footprint through the new fund.

Morgan Creek Digital General Partner Mark Yusko said, “With Web3’s global reach, MCD will spend more time in international markets looking to connect with the best CEOs and partners.”

Morgan Creek believes that the EMEA and APAC regions, especially the Middle East, will be the future technology leaders due to their growing investments in the AI ​​and blockchain sectors.

With more than $440 million raised since its inception, the venture capital firm believes APAC countries could triple investment in generative AI, while EMEA countries could see capital injected into the same sectors grew by 40%. This growth in the regions could add $30 billion in net new investment next year.

The resurgence of the Crypto VC market

Morgan Creek Digital’s latest announcement comes as the crypto venture capital market rebounds with more active fundraising than last year, especially for early-stage companies. The first two quarters of 2024 have seen a good number of deals raise billions of dollars, according to a report by Galaxy Research.

While crypto venture capital flows peaked in the first quarter of 2022, the following consecutive quarters saw declining volumes until the first quarter of 2024, which saw $2.5 billion raised in 603 deals. The second quarter of 2024 recorded even better figures, although the number of operations fell slightly; $3.2 billion was raised in 577 deals.

With the bull market expected to occur this year, investors may be experiencing a fear of missing out (FOMO) and high competition that could see the number of offers and the amount raised increase even further.

SPECIAL OFFER (Sponsored) Binance Free $600 (Exclusive to CryptoPotato): Use this link to register a new account and receive an exclusive welcome offer of $600 to Binance (full details).

2024 LIMITED OFFER on BYDFi Exchange – Up to $2888 Welcome Reward, Use this link to register and open a 100 USDT-M position for free!