New blockchain investment firm Fortis Digital is raising $100 million for a digital asset fund focused on altcoins that aims to bridge the gap between traditional and decentralized finance (DeFi), according to a press release. The fund requires that potential customers have at least $2.5 million in net assets to invest.
"Altcoin" is a catch-all term for any digital asset that is not bitcoin. The Fortis Digital Asset fund filters liquid altcoins based on a 100-point checklist, and the highest-rated among them is added to the portfolio, according to the company's website. The checks include fundamental analysis of company structure, technology and tokenomics to select the altcoins with the most favorable risk-reward ratio. Fortis also conducts market research to determine the best entry and exit points for investment.
"Bitcoin remains a solid investment, but it is now so widely traded that it lacks the significant growth potential that other, more innovative altcoins can offer," the company said.
The company was founded by the managing partners of Fortis Financial Group, a Seattle-based registered investment advisor with about $250 million in assets under management. The Forits Digital team includes Mike Boroughs, who led asset management at Fortis Financial, and Chris Capriccio, who previously served as vice president of engineering at LegalZoom.
"We believe the efficiencies and value created by blockchain ecosystems will accelerate global GDP and usher in a new era of disruption and innovation," Boroughs said in the press release. "Our goal is to help people get into Web 3 and crypto from the ground up to share in the benefits of a generational paradigm shift in technology."