Multicoin Capital has recently made a significant acquisition, amassing approximately $51.32 million in AAVE tokens via an on-chain transaction routed through the Galaxy Digital OTC wallet. Presently, AAVE stands as the most substantial asset in the firm’s wallet.

Summary

  • On-chain analysts reveal that Multicoin Capital’s wallet now possesses 210,000 AAVE tokens, acquired through withdrawals from major exchanges and transferred via Galaxy Digital’s OTC services.
  • With AAVE dominating the wallet’s portfolio, it far exceeds the second-largest holding, Ethereum, although the wallet’s total value has seen a decline of 4.5% recently.

According to insights from on-chain analyst Ember CN, an address identified by Nansen as associated with Multicoin Capital has recently received a substantial 210,000 AAVE tokens via a Galaxy Digital address. These tokens originated from various major cryptocurrency exchanges, including Binance, OKX, and Bybit, before being directed to Multicoin’s wallet.

Ember CN postulates that Multicoin Capital may have strategically acquired AAVE tokens during the recent downturn in the cryptocurrency market, temporarily storing them on exchanges before transferring the assets through Galaxy Digital.

Data from Arkham Intelligence indicates that Multicoin’s wallet currently contains 210,024 AAVE tokens, valued at approximately $51.13 million, positioning AAVE as the predominant asset in the firm’s portfolio.

On-chain data shows that Multicoin has received 210,000 AAVE | Source: EmberCN

AAVE currently represents the largest portion of Multicoin’s assets, substantially overshadowing its next biggest investment, which includes 1,274 Ethereum (ETH) valued at around $5,090. The wallet also contains minor amounts of Wrapped Ethereum (WEETH) and the older version of Polygon’s MATIC token; however, these assets contribute minimally to the overall portfolio value.

Overall, Multicoin’s total holdings amount to around $51.13 million, marking a recent reduction of 4.5% in value.

As of this writing, AAVE is trading at $243.67. The token has experienced a downturn of 4.35% in the last 24 hours and 16.81% over the past week. AAVE’s market capitalization stands at $3.7 billion, reflecting a decrease of 4.3%.

Multicoin Capital’s Investment Strategies

Founded in 2017, Multicoin Capital is a venture capital firm that focuses predominantly on cryptocurrency and blockchain technology investments. Based in Austin, Texas, the firm targets early-stage companies, primarily investing during Seed and Series A funding rounds, especially in protocols, tokens, and businesses related to financial technology and other economic sectors.

As per data from Tracxn, Multicoin has invested in over 140 startup companies, with numerous new investments made in the past year alone.

Recently, Multicoin Capital, along with Galaxy Digital and Jump Crypto, has shown a keen interest in raising around $1 billion to establish a Solana treasury, as reported. Insiders indicate that Cantor Fitzgerald has been designated as the lead banker for this significant deal, which is receiving backing from the Solana Foundation in Zug, Switzerland.

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