Tectonic Digital Asset Opportunities Fund

WEB3 AND BLOCKCHAIN-FOCUSED FUND

Fund characteristics

Name
Tectonic DAO Fund, an Australian unit trust

Inception Date
1 December 2021

APIR Code
BQC2119AU

Objective
Double-digit net returns over the medium to long-term

Investment allocation
0-75% cryptocurrency / token investments; 0-75% publicly listed equities; 0-30% unlisted investments; 0-10% Non-fungible tokens (NFTs)

Holdings
10 - 40 investments

Distribution frequency
Annually (unless reinvested)

Applications
Monthly

Liquidity
Semi-annually (following a two-year minimum investment term)

Management fee
0% p.a. (Tectonic does not charge management fees)

Performance fee
25% of the quarterly Unit Return subject to High-Water-Mark

Admin & Trustee
Boutique Capital Pty Ltd

Investor eligibility / Minimum investment size
Wholesale investors only / $50,000 minimum

Fund Overview

MONTHLY report

Access and download PDF report below.

Please note the following information has been prepared for use by Wholesale and Professional Investors only. By clicking Agree to download the fund update, fact sheet or submit an application form below, you are confirming you are an Australia Wholesale Investor as defined by section 761G of the Corporations Act 2001.

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Investment approach

Web3 focus

The Fund focuses on the companies and assets in the Web3 ecosystem, which is based on blockchain technology featuring decentralised ownership, empowering users and creators of content to be compensated for their time and data.

Capturing the entire value chain

The Fund takes a holistic approach to investing in the Web3 space, including cryptocurrencies, decentralised smart contract platforms, decentralised finance (DeFi), ‘picks-and-shovels’ (companies enabling the ecosystem such as miners, exchanges and service providers) in the public as well as private markets, and non-fungible tokens (NFTs).

Volatility is the price of admission

The Blockchain ecosystem is an emerging asset class and as a result, it is inherently volatile. There can be wild swings in the underlying prices in the short-term. There have historically been significant swings in underlying prices and this is expected to continue as the asset-class matures.

Long-term approach

While the Fund has a diversified portfolio to minimise short-term fluctuations, it is not immune to the volatility in the asset class. We believe that taking a longer-term approach (2+ year timeframe) to deliver capital appreciation is the right way to invest in this sector.

 
 

Fund characteristics

  • Direct coin / token investments

    • 0-75%

    • Focus on most established projects (no leverage), including staking of those positions to generate yield

    • Highly liquid

  • Listed company investments

    • 0-75%

    • Focus on ‘picks and shovels’ publicly-listed investments, e.g. mining, exchanges, custody, other service providers

    • Highly liquid

  • Unlisted (venture / pre-IPO) company investments

    • 0-30%

    • Focus on venture / pre-IPO company investments in the Web 3.0 ecosystem

    • Illiquid (especially the venture ones)

  • Non-fungible tokens (NFTs) / pre-token investments

    • 0-10%

    • Opportunistic investments into NFTs / pre-tokens

    • Semi liquid (1-30 days)

 The investment examples provided above are for illustrative purposes only. The actual portfolio investments may differ.

 
 

Our partner

Boutique Capital is the trustee and licensee of the Fund and has appointed Tectonic Investment Management as the Fund’s investment manager. Boutique Capital provides all back office, administration and distribution services.

 


Other service providers

How to invest

Available for Wholesale or Professional Investors only. The Fund is only available to investors based in Australia, New Zealand, Europe, United Kingdom and Switzerland. The Fund is not available to US-based investors.

Due to Tectonic’s ‘investor club’ philosophy potential investors are subject to additional screening by the Fund manager post application. This is to ensure alignment of the potential investor with the Fund’s strategy, risk-tolerance and time-horizon.

Accept terms to confirm your status and apply via the button below.

Investor Eligibility DefinitionS

Wholesale clients and sophisticated investors:
'Wholesale clients' and 'sophisticated investors' are defined in the Corporations Act 2001 (Cth) and include a person who has a certificate from a qualified accountant (obtained within the last six months), stating that such person has net assets of at least $2.5 million and/or a gross income for the past two financial years of at least $250,000 a year.

Foreign Investors:
If you reside outside of Australia & New Zealand this condition is not applicable to you.