Member Article

Carey Olsen advises Gate.io on launch of cryptocurrency venture capital fund

The Fund is a venture capital fund which initially closed with investments in the digital assets and web 3.0 space across 28 portfolio companies and projects, encompassing opportunities from seed to pre-IPO rounds.

The aim of the Fund is to invest in the equity and tokens of unlisted start-up companies and protocols operating within the digital assets web 3.0 ecosystem, targeting projects with a growth timeframe of five years. The Fund is also involved in activities related to NTFs, gaming, DeFi and DeSoc and may consider investments in other venture funds that operate within these sectors.

The Carey Olsen Hong Kong investment funds team leading on the Cayman Islands aspects of the transaction comprised partner Michael Padarin and legal managers Dilys Hung and Christy Kan, alongside PwC as lead adviser and Tiang & Partners as Hong Kong counsel.

Carey Olsen additionally advised on the formation and registration of the Fund's investment manager as an approved manager under the laws of the BVI.

Michael Padarin commented: "We are pleased to have advised Gate Ventures Capital on the launch of its private fund within the Cayman Islands. The Cayman Islands' tax neutrality, regulatory flexibility and proximity to the U.S. make it a clear choice for investors establishing private funds within the rapidly evolving digital assets sector."