BlockTower Buys Crypto Hedge Fund Gamma Point

BlockTower, a crypto hedge fund who recently raised $25 million for DeFi projects and assets, has now acquired one of its biggest competitors Gamma Point Capital.

article-image

Matthew Goetz is CEO/Managing Partner/Co-Founder at BlockTower

share
  • BlockTower has had prominent investors such as billionaire hedge-fund manager Marc Lasry and former U.S. Commodity Futures Trading Commission Chairman Christopher Giancarlo
  • The digital investment firm has raised $25 million to invest in DeFi projects and assets

Digital asset firm BlockTower Capital announced that it has acquired its rival Gamma Point Capital on Tuesday morning.

This is more than one of the investment firm’s big moves of 2021. The 12-person team also raised $25 million for decentralized finance (DeFi) projects, Blockworks reported in March. 

“This is an amazing milestone in our mission to build the #1 market-neutral fund for digital assets,” Gamma Point said in a statement on their website. 

The deal is valued at $35 million.

BlockTower was co-founded in 2017 by Ari Paul, who previously managed an endowment investment office at the University of Chicago, and Matthew Goetz, a former vice president at Goldman Sachs. 

Goetz is taking a “market neutral strategy”, adding that the digital asset firm should make returns regardless if it’s a bull or bear market, he said in an interview with Bloomberg. 

“We are probably in something like the seventh inning of this bull market,” he said. “It still has a ways to go. But I offer that very humbly, I don’t know if it’s six months or 12 months or 18 months to continue,” he added.

Paul also tweeted that he was “thrilled to welcome the Gamma Point team to the family.”

Former US Commodity Futures Trading Commission Chairman Christopher Giancarlo and billionaire hedge-fund manager Marc Lasry are among BlockTower’s most well-known investors. 

BlockTower did not respond to Blockworks’ requests for comment about the acquisition.

This story was updated on June 9, 2021, at 9:36 am EDT.

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates.jpg

Research

Figure, founded by former SoFi CEO Mike Cagney, has emerged as a leader in onchain RWAs, with ~$17.5B publicly tokenized. The platform’s ecosystem volume is growing ~40% YoY as it expands beyond HELOCs into student loans, DSCR loans, unsecured loans, bankruptcy claims, and more. Operationally, Figure cuts average loan production cost by ~93% and compresses median funding time from ~42 days to ~10, creating a durable speed-and-cost advantage.

article-image

Former White House crypto official Bo Hines is expected to be the CEO of the new project

article-image

In bonds, stablecoins and billionaires, a reminder of what makes crypto special

article-image

21Shares exec says CPI and PPI data supports a Fed rate cut, with market leaning toward a 25bps decrease

article-image

The Ethereum co-founder suggested LINEA holders would be eligible for other airdrops in cryptic tweet

article-image

The layer-2’s biggest release yet brings benefits — but a post-upgrade outage caused a chain reorg

article-image

Crypto is shifting into risk-on mode — pump.fun dominates meme activity, while Lido leans on treasury maneuvers