An $80 million crypto fund is being liquidated after its founder went missing in China

BlockBeats news, on September 23, Fortune reported that David Gan, a former Huobi employee who was selected for the Asian Forbes Under 30 list in 2019, founded his own venture capital fund, originally named OP Crypto.

In its prime in 2021, the fund attracted heavyweights such as Bill Ackman, Garry Tan and Alan Howard to become limited partners of its $50 million fund. OP Crypto, renamed Inception Capital this year, has performed well, including completing a $30 million fund raise in early 2024 and expanding its assets under management to nearly $100 million, according to the company's latest U.S. SEC filings.

But in May, Gan sent a mysterious email to limited partners (LPs). His father, a retired senior Chinese official from Wuhan, Hubei, China, is under investigation. Gan is going to China to help. That was the last investors heard from him in more than a month.

During Gan’s absence, some confused limited partners said they voted to orderly liquidate the company in his absence. During the vote, Gan returned and agreed to relinquish key responsibilities at the company. Now, Inception is at a crossroads, with the firm continuing to manage its holdings but agreeing not to touch the remaining 25% of uninvested funds.

Inception said it plans to formally launch a plan in October that would allow limited partners to invest the remaining funds, though that may not be the most attractive option for a company that has experienced turmoil over the past few months. After suspending investments, Inception laid off half of its employees.