Hashed Anchors New Digital Asset Private Credit Fund Targeting $300 Million

Crypto venture capital firm Hashed has partnered with Thoro Capital Management to anchor a new digital asset private credit fund, targeting $300 million.

The fund aims to address a 'critical financing bottleneck' in the institutional digital asset sector by providing stablecoin-pegged USD loans directly to digital asset institutions.

Thoro's managing partner Mohamed Hamdy co-founded Further Ventures and explained that traditional banks are buffered by regulatory capital requirements, while existing crypto lenders underwrite against asset-backed collateral.

The fund will use 'covenant-based' underwriting, similar to the traditional private credit market following the 2008 global financial crisis. This approach assesses borrowers as operating businesses, looking at their financials and management, and agrees on covenants for loan repayment.