The first Austrian crypto fund, which was approved by the Financial Market Authority as an "Alternative Investment Fund" (AIF), will be launched in April under the name "Tigris Web3".
The fund, which actively invests in up-and-coming crypto projects, is backed by venture capital firm Venionaire Capital and Austrian internet pioneer Peter Augustin, who founded the provider Inode in 1996. One hundred percent is invested in digital assets.
With the fund, the initiators want to benefit from the "technological paradigm shift of the 21st century" by investing early in modern blockchain protocols and crypto projects - keywords Web3 and DeFi (Decentralized Finance). In addition to a decentralized financial system, the development should also lead to a more decentralized organized Internet apart from Google, Amazon, Microsoft and Facebook.
In the STANDARD interview, Berthold Baurek-Karlic, Managing Director of Venionaire Capital, does not deny that the crypto market is currently being driven by a lot of speculation and that price volatility is high. In order to minimize the risk, one will therefore rely on selected projects and protocols whose multi-year outlook is promising, apart from current price developments.
The Cosmos protocol was mentioned as an example, which houses a number of exciting crypto projects in addition to its own token Atom. Baurek-Karlic also explicitly named Terra, which relies on stablecoins apart from its own Luna token, as an example of investments. The capital is also to be secured through the use of staking and farming pools. Tokens with high returns are made available - for example to pre-finance new crypto projects.
The fund is aimed at professional investors. The minimum amount that must be spent is 100,000 euros. Baurek-Karlic announced that 20 million euros should come together by summer. It took six months for the Financial Market Authority to examine whether the requirements regarding investor protection and anti-money laundering could be met. Legally, you have entered new territory in Austria.
The Venionaire Capital Managing Director describes the fact that the fund is currently only available to professional investors as a first step towards making the asset class socially acceptable in Austria. Since the development in the EU is also going in this direction, it is expected that conventional investors, i.e. the so-called retail investors, will also have access to such products in the future.
Augustin sees the emergence of the new Internet generation reminded of the 1990s and the emergence of the Internet. Like back then, the whole thing is a bit like the Wild West. You have to find the right five percent of projects and understand the tokenomics behind them, he says to the STANDARD. He named ten years as the time horizon for investments to reach their full potential.