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Lost 91.4% on FTX crash What was revealed in Multicoin Capital's investor letter?

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Multicoin Capital may not be in as bad shape as everyone thinks.

原文标题：《 Multicoin Capital's Hedge Fund Lost 91.4% Last Year, Investor Letter Reveals 》

Original article by Coindesk Tracy Wang

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FTX The fallout from the crash is still lingering, according to a newly leaked copy of an annual investor letter. Multicoin Capital In 2022 Eg. The annual loss was as high as 91.4% & have spent The two main reasons are that the crypto market as a whole was too volatile last year, and that the crypto market was also affected. FTX The "direct and indirect" effects of the crash.

Multicoin Capital In the letter he confessed: "Although it successfully avoided the catastrophic implosion of LUNA and Three Arrows Capital in &nbSP;2022 early this year, it did not avoid FTX crash, nor did it expect FTX The failure would spread to the entire crypto market, after a phenomenal 202&nbSP, Multicoin Capital , which had its worst year in the fund's history in 202 ."

A bad bet FTX Or the main cause of failure

Multicoin Capital Is one of the largest and oldest investment managers in the crypto industry, and is generally considered a very savvy crypto investment manager, according to its managing partner. Kyle Samani In 2017 Year 10 Launched hedge fund strategy in January, aiming to invest in liquidity Token, Multicoin Capital He also ran three venture capital funds and invested in the now-defunct trading platform FTX.

事实上，Multicoin Capital 不仅将部分资产托管给了 FTX，还进行了一些错误押注，比如长期看涨 Solana 原生 Token SOL 和基于 Solana 的资产 Mango，此外还持有 FTX.US 股权和大量未完成的衍生品合约。在去年 11 月另一封投资者信函中，Multicoin Capital 详细披露了其财务状况，透露大约 10% 的资产被 FTX 托管，而且持有大量 FTT、SOL 和 SRM，但现在这些 Token 价格都已大幅跳水。

Poor management decisions led to increased losses

In fact, in the FTX After news of the bankruptcy broke, Multicoin Capital Its flagship fund lost more than half its money in just two weeks, when it fell by as much. 55% That figure does not include liquidity and other investments that pay for themselves.

However, with the other fast cut off. FTX Compared to an investment company that is associated with and takes a write-down, Multicoin Capital Strategic decisions also appear to have gone wrong, as they said they had no plans to close their flagship product or move to proprietary trading in time, saying only that they would improve operations and infrastructure and try to reduce counterparty risk.

Obviously, this judgment is questionable, and the rest of the story, as I believe you all know, follows. FTX Bankruptcy proceedings, Multicoin Capital As the chances of recovery dwindled, the decision was made to write the assets down to zero. Although they haven't specified the amount, market experts believe it could be more than that. 8.5 & have spent A hundred million dollars.

Multicoin Capital It will be FTX The next casualty of the crash?

What is "interesting" is that Multicoin Capital It may not be as bad as you think, according to data disclosed in the fund's investor letter, which shows that while the fund has shrunk dramatically, it has been around since inception. 2022 Multicoin Capital Hedge funds are still up after fees. 1, 376% , enter 2023 After the crypto market ushered in a brief low rally, and pushed the fund up in January this year. 100.9% & have spent , since its establishment to 2023 Year 1 The monthly increase reached a range. 2, 866% .

此外，Multicoin Capital 去年的亏损主要因为其滞留在 FTX 上的资产、以及持有直接受到 FTX 影响的 Token ，比如 FTX 原生 Token FTT。根据 Multicoin Capital 在投资者信函中称，该基金已经在去年 11 月为受到 FTX 崩盘影响的资产创建了一个「侧袋（side pocket）」，将这些资产从主基金中剥离，包括留在 FTX 交易平台的资产（目前正陷入破产程序）、以及从 FTX 撤出的资产（未来可能会因法律程序被收回）。

Not only that, Multicoin Capital It also said it had taken new measures to "mitigate counterparty risk", such as --

Support is only retained in the trading platform at a time. 48 Hourly trading assets (not all assets are held on the trading platform).

Adjust collateral management practices to reduce the amount of collateral that trading platforms hold for derivatives positions.

Partnering with more custodians of crypto assets aims to further diversify custodial risks.

Multicoin Capital Said it remained "committed" to its long-term strategy but would not jump on the bandwagon. Apparently, after the experience. FTX After the crash event, the present. Multicoin Capital Should have learned some lessons.