Key Takeaways
- • Split Capital launches with three founding partners from LedgerPrime—Zaheer Ebtikar (portfolio manager), Michael Churchouse, and Nai Boonkongkird (Ph.D. in astrophysics)—backed by institutional investors including Novi Loren venture fund, UTXO Management, and Dan Matuszewski of CMS Holdings.
- • Fund targets overlooked "middle 80%" of crypto token market with a long-biased strategy emphasizing liquid tokens and longer-term founder alignment, positioning itself against short-term venture capital incentives that abandon projects post-liquidity.
- • LedgerPrime connection reflects post-FTX recovery narrative: Ebtikar and co-founders worked at LedgerPrime before its 2021 acquisition by FTX; the firm became entangled in FTX's November 2022 bankruptcy collapse despite refunding outside investors and transitioning to family office status in 2022.
- • Fund size undisclosed due to regulatory restrictions, though cofounder Ebtikar acknowledged the constraint limits transparency around capital committed to the liquid digital assets strategy.
- • Strategic positioning emphasizes ecosystem building over speculative trading, with Shiliang Tang (former LedgerPrime CIO) serving as advisor, signaling continuity in institutional-grade digital asset management approach.
Summary
Split Capital, a newly launched cryptocurrency hedge fund, has been founded by alumni from LedgerPrime, a trading firm once acquired by FTX. The fund's three cofounders—Zaheer Ebtikar, Michael Churchouse, and Nai Boonkongkird—are backed by notable institutional capital including the venture fund Novi Loren, digital asset fund UTXO Management, and Dan Matuszewski, cofounder of CMS Holdings. The specific size of the fund has not been disclosed due to regulatory restrictions.
The fund's investment thesis centers on a "long-biased" strategy focused on liquid digital tokens, with an explicit mandate to support the "middle 80%" of the crypto token market that Ebtikar argues receives insufficient attention from larger investors. Rather than pursuing short-term trading gains, Split Capital positions itself as founder-aligned, providing longer-term capital support to crypto projects. Ebtikar articulated this positioning directly: "Once assets become liquid, they just no longer get any love—and VCs move on to the next thing. We want to be much more founder-aligned." This strategy reflects a view that venture capital's traditional incentive structure abandons projects after initial liquidity events, creating an opportunity gap for active managers willing to sustain multi-year positions.
The founding team carries relevant institutional pedigree. Ebtikar previously served as portfolio manager at LedgerPrime, and Shiliang Tang, the firm's former chief investment officer, is advising the new fund. Nai Boonkongkird holds a Ph.D. in astrophysics from Sorbonne University, adding quantitative depth to the investment operation.
The LedgerPrime association carries historical significance. The trading firm was acquired by FTX in 2021 but became structurally entangled with Alameda and FTX's U.S. subsidiary. When FTX collapsed in November 2022 following the downfall of founder Sam Bankman-Fried, LedgerPrime—which had already begun transitioning to family office status and refunding outside investors in 2022—became caught in the subsequent bankruptcy. Ebtikar framed the team's motivation around this experience: "We did everything right, in our power—just wrong place, wrong time. So we did have a bit of a chip on our shoulders to make things right." This narrative suggests Split Capital emerges as part of the institutional crypto market's post-FTX reset, with experienced managers seeking to rebuild credibility through disciplined, founder-focused strategies.
The fund's investment thesis centers on a "long-biased" strategy focused on liquid digital tokens, with an explicit mandate to support the "middle 80%" of the crypto token market that Ebtikar argues receives insufficient attention from larger investors. Rather than pursuing short-term trading gains, Split Capital positions itself as founder-aligned, providing longer-term capital support to crypto projects. Ebtikar articulated this positioning directly: "Once assets become liquid, they just no longer get any love—and VCs move on to the next thing. We want to be much more founder-aligned." This strategy reflects a view that venture capital's traditional incentive structure abandons projects after initial liquidity events, creating an opportunity gap for active managers willing to sustain multi-year positions.
The founding team carries relevant institutional pedigree. Ebtikar previously served as portfolio manager at LedgerPrime, and Shiliang Tang, the firm's former chief investment officer, is advising the new fund. Nai Boonkongkird holds a Ph.D. in astrophysics from Sorbonne University, adding quantitative depth to the investment operation.
The LedgerPrime association carries historical significance. The trading firm was acquired by FTX in 2021 but became structurally entangled with Alameda and FTX's U.S. subsidiary. When FTX collapsed in November 2022 following the downfall of founder Sam Bankman-Fried, LedgerPrime—which had already begun transitioning to family office status and refunding outside investors in 2022—became caught in the subsequent bankruptcy. Ebtikar framed the team's motivation around this experience: "We did everything right, in our power—just wrong place, wrong time. So we did have a bit of a chip on our shoulders to make things right." This narrative suggests Split Capital emerges as part of the institutional crypto market's post-FTX reset, with experienced managers seeking to rebuild credibility through disciplined, founder-focused strategies.
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