C1 Fund invests in crypto exchange Kraken

NEW YORK - C1 Fund Inc. (NYSE:CFND), a closed-end investment fund focused on digital asset companies with a market capitalization of $51.16 million, announced Monday it has made an investment in cryptocurrency exchange Kraken. The fund’s stock currently trades near its 52-week low of $7.58, according to InvestingPro data.

Kraken, founded in 2011, is one of the longest-operating digital asset trading platforms globally, offering services including spot and futures trading, staking, and institutional custody solutions.

"Kraken’s scale, innovation, and track record in security make it a strong fit for our portfolio," said Elliot Han, Chief Investment Officer for C1 Fund, in a press release statement.

The addition of Kraken expands C1 Fund’s holdings in private market companies operating in the digital asset sector. The fund aims to invest in up to 30 companies building infrastructure for the digital asset economy.

C1 Fund, based in Palo Alto, California, is listed on the New York Stock Exchange and managed by C1 Advisors LLC. The fund’s performance has been challenging, with a -15.05% total return year-to-date. Under its investment strategy, the fund commits at least 80% of its assets to equity and equity-linked securities of companies in the digital assets services and technology sector. InvestingPro subscribers can access additional insights, including multiple financial health indicators and exclusive investment tips for CFND.

The fund excludes companies whose business is principally administered in the People’s Republic of China, including Hong Kong and Macao.

Neither the size of the investment nor the valuation of Kraken was disclosed in the announcement.

In other recent news, C1 Fund Inc. has acquired a stake in Ripple, a company specializing in enterprise blockchain technology for cross-border payments. The announcement came via a press release, though specific details regarding the size of the investment or the financial terms were not disclosed. This acquisition is part of C1 Fund’s strategy to expand its portfolio in digital assets and blockchain infrastructure. The move aligns with C1 Fund’s focus on late-stage investments in the digital asset space. Investors are likely to keep an eye on how this investment will impact C1 Fund’s overall portfolio performance. Ripple’s technology is noted for its role in facilitating efficient cross-border transactions. This development comes amidst growing interest in blockchain technologies within the financial sector.

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