Sequoia Capital partner Matt Huang will be leaving the venture capital firm after four years in the company to start a cryptocurrency-focused fund with Fred Ehrsam, Coinbase co-founder who has also left the day-to-day operations of his company to focus on his own ventures.
The crypto and blockchain investment industry is booming. Investors are increasingly interested in the tech and venture capital funds that invest in them are growing rapidly.
It is not yet clear what Huang’s and Ersham’s fund’s size and strategy will be. However, Huang used to lead investments in crypto hedge funds with many different strategies back at Sequoia.
There are no hard feelings attached to the separation as it has been reported that the company will be “heavily investing” in Huang’s new fund.
Huang’s exit will be effective at the end of the month.
The crypto brain drain has been going on for a while now. Many big names from high up positions in the financial and technology sectors have left their careers to pursue cryptocurrency and blockchain-related ventures.
Matt Huang is not the first and will definitely not be the last.