Adamant Capital’s Bitcoin fund ceases operations

The cryptocurrency fund Adamant Capital, run by the ardent Bitcoin advocate Tuur Demeester, has closed without much fanfare, according to The Block.

Co-founder Mihkel Leskrovet, now managing the Tioga Capital venture fund, told the publication that Demeester shut the fund ‘for personal and family reasons’.

Last month, Tuur Demeester posted a YouTube video in which he said that he was ‘slightly stepping aside’ from the world of Bitcoin and intended to focus on ‘natural interests’. The latter include philosophy and global issues such as inflation and social instability.

“I am working on several writing projects. One of them is devoted to philosophy, primarily the philosophy of freedom. I am also working on a project about Kurt Cobain. It is more like a biography,” said the founder of Adamant Capital at that time.

He added that these two projects are long-term and are likely to take the form of books. As for Bitcoin, Demeester expressed the view that it is ‘growing’ and ‘starting to act on its own’, becoming a popular object of political debate.

Fund assets under management

By November 2019, Adamant Capital managed about $10 million. According to filings with the U.S. regulator, Demeester’s firm managed two funds—Adamant Fund I and Adamant Offshore Fund I.

The minimum investment in Adamant Fund I per investor was $100 000, while for Adamant Offshore Fund I it was $218 897.

Adamant Capital withdrew its registration with the U.S. Securities and Exchange Commission (SEC) in March this year, thereby ceasing to file reports.

Adamant Capital was originally created to try to beat Bitcoin’s growth. However, that goal was never achieved. In particular, in September last year the fund fell 0.2% relative to Bitcoin and ‘only a little’ rose in dollar terms. Soon after, the fund fell about 2% relative to Bitcoin.

In a conversation with The Block, Leskrovet did not name specific participants in Adamant Capital, noting only that the fund had ‘very well-known investors’.

“The largest investor in Adamant agreed to follow me to Tioga,” Leskrovet noted. “Tioga will soon close its first €10 million round, and later will increase its capital to €50 million.”

In recent months, a number of well-known funds have ceased operations, including Tetras Capital, Prime Factor Capital, Neural Capital and Adaptive Capital.

Earlier ForkLog reported that the Pantera Bitcoin Fund managed to outperform Bitcoin, delivering a net return of 15,140% over seven years.

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