Wall Street Heavyweights Citadel, Jane Street, and JPMorgan Bet Big on Theo’s $20M Crypto Round

Hack VC and Anthos Capital lead the charge as traditional finance titans dive headfirst into crypto—proving even the old guard knows where the alpha’s hiding.

Who needs regulators when you’ve got VC firepower? Theo’s network just got the ultimate stamp of approval from the same institutions that once scoffed at decentralized finance.

Funny how a $20M war chest makes blockchain ’disruption’ suddenly palatable to Wall Street’s finest.

Passive Access to Professional Trading Strategies

Per the team behind it, Theo’s trading infrastructure supports a range of strategies that are typically available exclusively to hedge funds and proprietary trading firms.

Its custom low-latency validator set ensures custodial guarantees for users, it claims. At the same time, it enforces rule-based access for institutional counterparties, such as market makers and trading firms.

Furthermore, validators enable real-time execution across centralized exchanges and decentralized protocols (DeFi). They also enforce margin requirements and maintain system-wide overcollateralization.

Under the hood, Theo is powered by a low-latency settlement network that executes trades across every major trading venue while autonomously maintaining margin requirements.

Retail users deposit into strategy-specific vaults to passively access professional trading strategies. Trading expertise and multiple exchange accounts are not needed, the team says.

Instead, the platform takes care of execution, risk, and dynamic capital allocation. They utilize approaches like high-frequency arbitrage, cross-chain funding rate optimization, and advanced hedging.

Additionally, the platform reallocates capital as market conditions change. “This flexibility ensures greater stability and performance for retail participants,” it argues.

As for trading firms, the announcement says, Theo enables “superior capital efficiency.” These firms can cross-margin strategy positions against their proprietary trades by leveraging user capital through vault participation. This method unlocks alpha “while users share in the upside.”

Co-founder Abhi Pingle argues that “today’s crypto markets are fragmented and inefficient, preventing institutions and everyday users alike from accessing the full promise of global, permissionless finance.” To solve this, Theo delivers “robust, scalable infrastructure that seamlessly connects large traditional players and retail participants on-chain—unlocking new levels of capital efficiency,” Pingle concludes.