In the first quarter of 2024, Pantera Capital's investment in the Liquid Token Fund resulted in a 66% profit, as reported by Bloomberg. This growth was mainly due to investments in digital assets, particularly Solana (SOL).

Solana has experienced a significant increase in value in recent months, almost doubling with the price briefly crossing $200. Pantera had initiated a $250 million effort to acquire discounted Solana tokens from FTX, which had gone bankrupt, mentioned in a NewsBTC article from March.

At the moment, the Solana token is valued at around $179, showing a 2.3% increase in the last 24 hours. With its market capitalization, Solana holds the fifth spot among the largest cryptocurrencies in the industry.

A shareholder letter referenced by Bloomberg noted that profits from smaller-cap cryptocurrencies and DeFi tokens like Ribbon Finance (RBN), Aevo, and Stacks (STX) have also contributed to the impressive performance of the Liquid Token Fund.

Data from TradingView revealed that the RBN token increased by over 315% year-to-date, while Aevo rose by nearly 200% in just three months. Furthermore, the value of the Stacks token grew by more than 110% in 2024.

Pantera's Crypto Fund Reduces its Bitcoin Holdings

In the first quarter of this year, Pantera's Liquid Token Fund trimmed its positions in Bitcoin and tokens associated with the Ethereum network. The shareholder letter suggested that one reason behind reducing exposure to Ethereum-linked coins is the low likelihood of the approval of a spot Ether exchange-traded fund (ETF) in the US.

In an interview, portfolio manager Cosmo Jiang stated that they had significant holdings in Bitcoin until the beginning of the year, and have gradually decreased this position monthly.

Bitcoin's price surged by over 60% in the first quarter, mainly due to the introduction of spot Bitcoin ETFs in the US market. The leading cryptocurrency reached an all-time high of $73,798 in March but is currently trading 5% below this record value.