Selini Capital

What they fund

• Digital Asset Protocols — Selini invests in and supports protocols that benefit from systematic trading and liquidity provision [1].
• Trading Infrastructure — The firm backs technologies that enable efficient price discovery and reduced slippage in crypto markets [1].

Credibility: The firm's focus on systematic trading and liquidity provision implies support for infrastructure and protocols that require these services [1].

Investment thesis

Selini Capital operates as a global trading firm focused on systematic trading and venture investing within the digital assets space [1]. Their core thesis bridges traditional finance and crypto by leveraging a team of researchers, traders, and engineers to generate consistent alpha [1]. They aim to make digital asset markets more efficient and transparent by reducing price slippage and enabling orderly price discovery [1]. The firm acts as a sophisticated partner for protocols, aligning with ecosystems to drive growth and value [1].

Credibility: The firm's own website details its mission, team background, and partnership philosophy with entities like dYdX [1].

Value add

Selini provides sophisticated liquidity, market-making expertise, and strategic partnership to portfolio companies [1].

Fit verdict: Ideal for crypto-native protocols seeking deep liquidity and a partner with trading infrastructure expertise.

Founder diligence script:

• How does Selini's systematic trading strategy align with our tokenomics?
• What is the expected level of involvement in our protocol's development?
• How do you measure success in your partnerships beyond capital deployment?

Portfolio focus

• Protocol Partnerships — Selini actively partners with major decentralized exchanges and protocols, such as dYdX, to provide liquidity and support ecosystem growth [1].
• Liquidity Provision — The firm is a significant market participant, actively trading across centralized and decentralized exchanges to ensure market efficiency [1].

Credibility: Selini's website highlights its role as a liquidity provider and its partnership with dYdX [1].

Notable investments & exits

• dYdX Partnership — Paul Erlanger from dYdX is cited as a partner, highlighting Selini’s close alignment and involvement with major protocols like dYdX [1].
• Unknown — Specific portfolio company names, exit details, or other investment cases are not explicitly listed in the provided sources beyond the dYdX partnership reference.

Strategic implications

Selini's dual focus on systematic trading and venture investing creates a unique edge in liquidity provision and market-making for crypto protocols. Their deep involvement in trading infrastructure positions them as a critical partner for protocols requiring efficient price discovery. A key risk is the regulatory scrutiny on crypto trading firms; any adverse regulatory action could impact their operations and partnerships.

Where they could go further

Selini could expand its venture investing to focus more on early-stage infrastructure projects that support systemic trading efficiency. The firm could enhance its value proposition by offering more educational resources to portfolio companies on market-making strategies. Selini might consider diversifying its geographic focus to emerging markets with growing crypto adoption.