Split Capital, the digital asset hedge fund founded by investor Zaheer Ebtikar, is closing, with the founder joining Peter Thiel-backed startup Plasma.
Ebtikar announced this news on Tuesday in Post X, which stated that Split Capital was profitable in both 2024 and 2025 and delivered over 100% return.
“We were the best-performing fund across the board,” Ebtikar said, adding that his decision to close the company was based on his belief that the cryptocurrency market had moved away from strategies that hedge funds are designed to capture.
“The hedge fund model didn’t make sense for cryptocurrencies forever,” he said.
Ebtikar’s decision came amid continued pressure on crypto hedge funds, which are reported to have been he faced more challenging market conditions since market downturn in 2022
Ebtikar argues that the cryptocurrency industry no longer rewards traders chasing momentum
Ebtikar described his early years in cryptocurrency as “button-clicking PvP” where traders competed in fast-moving markets driven by dynamics and narrative. But after almost a decade, he found that these conditions had changed.
“The industry no longer rewards traders chasing momentum, it has matured into a space where the only real question is: ‘What does the future look like and where is the value?’” he said.
Ebtikar said many investors, including critics, ultimately rightly questioned the sustainability of funds like Split Capital in a rapidly growing market.
“As time went on, our beliefs narrowed to a small number of founders and industries that I truly believed in,” Ebtikar said.
Staking your vision of Plasma stablecoins
Ebtikar said his confidence in Plasma has grown by working closely with the company’s founding team in 2024 and 2025.
Plasma is focused on building infrastructure for stablecoin settlement and global financial access. Last February, the platform raised $24 million from investors including Framework Ventures, Bitfinex, Peter Thiel and Tether CEO Paolo Ardoino.
Related: Standard Chartered says faster stablecoin trading could curb demand
As Plasma’s Chief Strategy Officer, Ebtikar will work with partnerships, development and go-to-market efforts, and engage with investors and decision-makers ahead of the launch of Plasma One and the continued expansion of the ecosystem.
He framed the move as part of a broader belief that cryptocurrencies are entering a modern phase, defined less by speculation and more by the building of global financial systems.
“The last dance of an old era of cryptocurrencies and the hope and deep belief that our work at Plasma can lead us to a new golden age for our space,” Ebtikar said.
