Inception Capital, formerly OP Crypto, completed its first fund at $30 million, founder and general partner David Gan told Eltrys. This financing supplements the businesses’ $50 million Venture Fund I.
OP Fund of Funds I LP targeted family offices and high-net-worth individuals seeking “diversified” early-stage crypto venture exposure. Its investors include Mirana, FJ Labs, and Serafund. “Instead of family offices trying to make the best investments themselves, this vehicle is a good hedge and risk-adjusted downside vehicle to get crypto exposure,” Gan added.
Gan said this vehicle will invest in five new investment managers and funds annually rather than specific projects, protocols, or businesses. We’re trusting other institutional managers to invest our money in a diverse portfolio. 
The flagship vehicle will invest in “up-and-coming and” “hungry” early-stage business seekers. Gan added, “This is a good calendar year to double down on the space, invest early, and back entrepreneurs.”
The fund has deployed 30% and will focus on rising crypto venture managers.
It invested in Syncracy Capital, Escape Velocity, Alliance, OrangeDAO, and Everyrealm. It co-invested with Bain Capital Ventures, ParaFi Capital, Multicoin Capital, and a16z’s Marc Andreessen and Chris Dixon. Inception Capital holds a general partner investment in the first two managers.
Gan said the Fund of Fund (FoF) business in crypto is “very small” compared to the billion-dollar market in general. “I can count the crypto fund of funds with one hand.”
Gan thinks managers that have expanded over the previous couple of years may take on sovereign wealth money, endowments, pension funds, or institutional FoFs to accelerate the crypto venture space “to match that in the traditional market.”
