SC Ventures, the venture capital arm of Standard Chartered, is planning to raise $250 million for a new global investment fund focused on cryptocurrencies that is expected to launch in 2026.
Bloomberg reported that the fund is being developed by operating partner Gautam Jain, who stated that the fund’s focus is on digital assets in the financial services space.
The action also illustrates the increased appetite from institutional investors for long-term investment in the crypto space, suggesting the asset class is steadily maturing and evolving beyond speculative trading.
Middle East Investors to Back Fund, Global Reach Expected
Jain stated that the $250 million fund will include backers from the Middle East, a region that is becoming more engaged in the adoption of digital assets and blockchain-based infrastructure Development.
The fund will likely employ a global investment strategy, allowing for investment opportunities to take place across multiple regions rather than just focusing on one market.
At this point, it is still unclear which cryptocurrencies or crypto projects the fund might prioritize. Nonetheless, the fund is aimed, in part, at the broader institutional strategy of acquiring digital assets to create value over time.
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Additional Funds Targeting Africa and Venture Debt
In addition to its worldwide crypto fund, SC Ventures also anticipates introducing a $100 million investment fund targeting Africa, specifically for the purposes of developing financial technology and other growth sectors.
In addition, Jain verified that the firm is considering its first venture debt fund as part of its growth strategy.
While it is not immediately confirmed that these additional funds will specifically incorporate investments in cryptocurrency.
These developments exhibit Standard Chartered’s endeavours to diversify its product portfolio and expand its presence in emerging markets.
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Challenges for Digital Asset Treasury Firms
The announcement comes amid a warning from Standard Chartered itself about increasing financial risks among Digital Asset Treasury (DAT) funds.
The bank claimed that many firms have fallen below the important one market net asset value (mNAV) threshold, which signals a diminished capacity to issue shares and build crypto reserves.
Even with these concerns, Standard Chartered has expressed buoyancy that the market will coalesce around the largest, best players; the ones who can use staking yields and low-cost debt.
This makes clear that correctly capitalized funds like SC Ventures’ soon-to-be-launched fund may be in a prime position as the market develops.
Growing Trend of Institutional Crypto Funds
Standard Chartered’s action is part of a broader trend of institutional activity in the digital asset space.
On March 22nd, Nasdaq-listed Helius Medical Technologies unveiled the establishment of a $500 million treasury reserve fund, which plans to use Solana as its reserve asset, according to UnoCrypto.
Additionally, on March 28th, we reported that Haun Ventures is raising $1 billion across two funds focused on Bitcoin.
Lastly, to note the height of institutional capital, UnoCrypto cited on March 29th that the French public investment bank, Bpifrance, announced the establishment of a €25 million ($34.1 million) fund to invest in French blockchain projects.
This all points to a continuing capital flow from institutional investment into digital assets, corroborating the hypothesis that cryptocurrencies have reached a point of foundational inclusion in global financial playbooks.
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