A new venture capital fund focusing on investments in prediction markets is launched with the support of two well-known names in the industry. Shayne Coplan, founder of Polymarket, and Tarek Mansour, founder of Kalshi, are taking the lead in the establishment of the fund that aims to provide capital in this field. Both names have made significant contributions to the digital asset ecosystem by establishing innovative platforms in prediction markets.
Strategy and Objectives of the New Fund
The fund, called 5c(c) Capital, is inspired by the article in the US Commodity Exchange Act that regulates prediction markets. This fund has set its main goal to invest in companies shaped by the regulations and market structure specific to prediction markets. The founders stated that they want to benefit from the second, third and fourth order effects of the market with the experience gained from their own platforms.
Recently, prediction markets have begun to become a more visible and active part of the financial world. Following the US presidential elections, there is a significant increase in transaction volumes and number of users on these platforms. Contracts opened at Polymarket and Kalshi in areas such as politics, economy and culture turn public trends into exchange-traded signals. At Polymarket, transactions are carried out on the blockchain. In addition, cryptocurrency companies such as Coinbase and Kraken and Robinhood have also been among those who have recently shown interest in this field.
Signs of Expansion in the Market Ecosystem
Rising interest in prediction markets has led to the formation of secondary business models. It’s not just about platforms anymore; There has also been demand for startups developing data tools, liquidity services and compliance systems. Rather than investing directly in stock markets, 5c(c) Capital plans to fund early-stage companies developing infrastructure and services.
The fund aims to invest in approximately 20 companies over the next two years and raise up to $35 million in total. It is stated that priority is given to complementary areas that will contribute to the growth of the sector in the investment strategy.
In addition to the co-founders, the Millennium Management portfolio manager, various crypto-focused funds, and the founders of other prediction market startups are among the backers. It is stated that in the first stage, financing was provided from more than twenty investors.
No evaluation of the fund was made by Polymarket. No official response was received from the Kalshi front until publication.
