Venture capital company Pantera Capital sold about 80% of its investments in the Terra ecosystem at a big profit before the collapse of the project, The Block has reported.
Pantera Capital CIO Joey Krug said:
“Over the past year, the market has pulled away from fundamental valuations, so we covered most of our position in Terra before any of the latter happened. About 80%, quite gradually.”
The firm’s partner, Paul Veradittakit, has said that exiting the investment early on turned $1.7 million into about $170 million.
The company has invested in Terraform Labs, behind the crypto project, at least twice. In January last year, Pantera participated in a $25 million funding round, and in July joined another $150 million.
Krug has clarified the firm had separate investments in the LUNA token. Pantera acquired the asset in July 2020 after it went public, using trading liquidity rather than venture capital.