Key Takeaways
- • Alexis Ohanian's venture capital firm Seven Seven Six is raising $177.6 million for a new crypto-focused fund called Kryptós, registered as an investment adviser in April 2022 and now authorized to invest directly in cryptocurrencies.
- • Seven Seven Six currently manages approximately $904 million in gross assets across 56 portfolio companies, including high-profile crypto investments such as Yuga Labs (Bored Ape Yacht Club) and QuickNode, a blockchain infrastructure provider.
- • The Kryptós fund will operate with a 2.5% management fee and 25% carried interest structure, with founding partner Katelin Holloway positioning the current market downturn as an optimal entry point—stating "everything is on sale" for long-term crypto believers.
- • Ohanian, an early investor in Coinbase, is leveraging both his own track record and his spouse Serena Williams' venture capital experience (Serena Ventures manages 30+ companies in crypto and Web3) to establish credibility in the digital asset space amid broader crypto winter conditions.
Summary
Alexis Ohanian, Reddit's co-founder, is pursuing a substantial capital raise for his venture capital firm's newest initiative. Seven Seven Six has set a $177.6 million target for Kryptós, a fund explicitly designed to capitalize on Web 3 and digital currency opportunities. The firm obtained registration as an investment adviser in April 2022, a regulatory milestone that enables direct cryptocurrency investments—a critical capability for executing the fund's mandate during a period of significant market volatility.
Seven Seven Six brings established credential to this venture, managing approximately $904 million in gross assets across a diversified portfolio of 56 companies. The firm's existing crypto holdings demonstrate conviction in the sector: notable investments include Yuga Labs, the creator behind the Bored Ape Yacht Club NFT project, and QuickNode, a blockchain infrastructure provider. These positions underscore the firm's early-stage focus within the Web 3 ecosystem.
Katelin Holloway, the fund's founding partner, has adopted a countercyclical investment thesis aligned with the current market environment. "This is the best time to buy if you're really long on the industry … It's on sale. Everything is on sale," she stated, reflecting a classic venture capital perspective that market downturns present optimal deployment opportunities for capital with sufficient conviction and runway. The fund's fee structure—2.5% management fees with 25% carried interest—aligns with institutional venture capital norms, positioning Kryptós as a traditional institutional vehicle rather than an alternative crypto-specific structure.
Ohanian's personal investment history strengthens the fund's positioning. As an early investor in Coinbase, he established early credibility in the cryptocurrency space before institutional adoption accelerated. This background, combined with his spouse Serena Williams' parallel venture capital activities through Serena Ventures (which manages over 30 companies in crypto, Web3, NFTs, and metaverse sectors), creates a household investment vehicle with meaningful exposure to digital asset innovation. The couple co-invested in Lolli, a Bitcoin reward application, further demonstrating joint commitment to the sector. Williams has publicly noted that contemporary venture capital funds lacking digital asset exposure are increasingly anachronistic, a sentiment reflected in continued capital deployment during the ongoing crypto winter.
Seven Seven Six brings established credential to this venture, managing approximately $904 million in gross assets across a diversified portfolio of 56 companies. The firm's existing crypto holdings demonstrate conviction in the sector: notable investments include Yuga Labs, the creator behind the Bored Ape Yacht Club NFT project, and QuickNode, a blockchain infrastructure provider. These positions underscore the firm's early-stage focus within the Web 3 ecosystem.
Katelin Holloway, the fund's founding partner, has adopted a countercyclical investment thesis aligned with the current market environment. "This is the best time to buy if you're really long on the industry … It's on sale. Everything is on sale," she stated, reflecting a classic venture capital perspective that market downturns present optimal deployment opportunities for capital with sufficient conviction and runway. The fund's fee structure—2.5% management fees with 25% carried interest—aligns with institutional venture capital norms, positioning Kryptós as a traditional institutional vehicle rather than an alternative crypto-specific structure.
Ohanian's personal investment history strengthens the fund's positioning. As an early investor in Coinbase, he established early credibility in the cryptocurrency space before institutional adoption accelerated. This background, combined with his spouse Serena Williams' parallel venture capital activities through Serena Ventures (which manages over 30 companies in crypto, Web3, NFTs, and metaverse sectors), creates a household investment vehicle with meaningful exposure to digital asset innovation. The couple co-invested in Lolli, a Bitcoin reward application, further demonstrating joint commitment to the sector. Williams has publicly noted that contemporary venture capital funds lacking digital asset exposure are increasingly anachronistic, a sentiment reflected in continued capital deployment during the ongoing crypto winter.
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