# kaal:claim:3409548-033

**Claim.** The legacy private investment fund model delays liquidity: the investment process is long, complex and time intensive and leads up to a very late liquidity event in the form of an IPO or acquisition, which is why funds seek the early liquidity cryptocurrencies provide.

**Type.** mechanism  **Support.** argued

**Holds when.**

- private investment funds investing in blockchain start-ups

**Source quote.**

> In the existing legacy business for private investment funds, the investment process is subject to long, complex, and time intensive processes leading up to a very late liquidity event in the form of an IPO or acquisition.

**From.** Kaal, *Financial Technology and Hedge Funds* (2019), III.4 Capitalizing on Disruption, page 29

**Cite as.** Kaal, Financial Technology and Hedge Funds (2019). SSRN: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3409548

**Verify.** sha256 of source PDF `74227ab2656b06bfe4a29c942fc2ba26df9f476917e0a9f85ec038b8c3402c40` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20-%202019%20-%20Financial%20Technology%20and%20Hedge%20Funds.pdf

**Topics.** securities-law, defi, innovation

**Keywords.** ico, liquidity, private-investment-funds, disruption, exit

**Related claims.**

- restates: https://wulfkaal.github.io/claims/3406323-005

**Canonical form.** This markdown file is the canonical hashed representation of the claim. Its sha256 is the content hash used for attestation.