Crypto Hedge Fund Split Capital Dissolves, Founder Joins Plasma as Executive

BlockBeats News, April 7th, according to Fortune report, cryptocurrency hedge fund Split Capital has dissolved, with its founder Zaheer Ebtikar joining stablecoin startup company Plasma as an executive.

Ebtikar's decision to close Split Capital was not due to poor performance. The founder stated that the fund's returns in 2024 and 2025 were approximately 100% and 20%, respectively. Instead, he believes that cryptocurrency hedge funds are no longer a viable business. "The entire cryptocurrency hedge fund industry has basically declined and exited."

By the end of 2025, Split Capital returned funds to its investors. The fund's previous supporters included venture fund Novi Loren and digital asset company UTXO Management. Although Ebtikar refused to disclose the specific amount his firm managed, he mentioned that the assets under management were at a "eight-figure" level. The fund will continue to operate on a smaller scale, only using proprietary capital.

Reportedly, Split Capital was founded by Zaheer Ebtikar in early 2024 during the crypto market's upswing. It was not a traditional VC but focused on liquid tokens hedge fund, employing a "long bias" strategy, being bullish on the crypto market long-term and profit from active management. In public disclosures, Split Capital only revealed an investment in the perpetual income tranching protocol Strata; other activities were more trading and hedging.