Newsflash: Why This Virginia Police Department’s Pension Just Invested in a $40 Million Crypto Fund
Two public funds managing over a billion dollars in Virginia state employees’ pensions are backing a $40 million blockchain fund invested in in the crypto space. | Source: Shutterstock
Frequent Bitcoin commentator and t-shirt salesman Anthony Pompliano told Bloomberg this morning that two Fairfax County, Virginia pension funds have gone in on Morgan Creek Digital’s new fund for cryptocurrency companies. The funds represent $1.2 billion in assets for the pensions of police and other public workers in the county.
$25 Million Fund Oversubscribed to $40 Million
The $40 million fund originally only sought $25 million. A small portion of its investment will be in liquid blue chip cryptos like Bitcoin and Ethereum. Investment in cryptocurrency companies will be the majority of the fund’s work, however. Coinbase and Bakkt have already been named as targets for investment.
Public pension funds affect almost 20 million Americans. Nearly 4,000 exist. If the experiment in Fairfax County goes well, and police have an even more comfortable retirement as a result, will others follow suit?
— Alastair Marsh (@AlastairJMarsh) February 12, 2019
Bloomberg reports that “an insurance company, a university endowment and a private foundation” is also throwing in with the fund. It has already bought equity in Bakkt, the Starbucks/NYSE crypto exchange which will likely launch America’s first Bitcoin ETF (eventually).
Everything will be tokenized in the future, Morgan Creek convinced asset managers. Whatever the crypto markets have been doing, blockchain as an industry has been attracting many of the brightest minds in Silicon Valley for years.