A look into the Chainsmokers’ Venture Capital Firm

In a bizarre twist of fate, the future of venture capital is The Chainsmokers.

In a post on LinkedIn, unlikely venture capitalists Alex Paul and Drew Taggart, better known as the international DJ duo The Chainsmokers, shared how being the underdogs of top-tier finance inspired them to deliver, not just on returns but on effort. “We utilize social capital, and we act with urgency. We are always looking for ways to offer more support and opportunity. Even when we’re half asleep.” The LinkedIn post described the consensus of Mantis Venture Capital’s business partners as “pleasantly surprised.” For most partners of the burgeoning firm, skepticism has melted to be replaced with a gentle and kind assurance.

But what exactly is venture capital? And how in God’s name did two DJs break into a difficult market? Venture capital targets early-stage, private companies with strong potential. VC firms fund the inchoate vision, whatever it may be, for a cut of ownership and future profits. VC bets on the underdog, on the uncapped earnings potential of an up-and-coming entrepreneur’s vision. In contrast to investing in stocks and bonds, which are publicly traded financial instruments heavily regulated and listed on exchanges, venture capital’s niche focuses on privately held investments. The hustle next door, the recent business school graduate’s cool novel idea, or the tech company operating out of a garage. Think Dimond in the rough.

But how exactly did two DJs make their way into such a market? According to Alex, their rise to celebrity was seeded with incessant business propositions. People naturally approached Alex and Drew with investment ideas and seductive places to park their newfound wealth.

Rather than turn away many of the propositions, Alex and Drew began investing. Mantis Venture Capital was formed after a long slew of “a little bit of this” and “a little bit of that.” And despite the odds, the firm is doing well.

Mantis’ portfolio consists of 10 sectors: AI, enterprise, security, gaming, fintech, logistics, consumer, e-commerce, healthcare, and ESG. The firm also boasts three acquisitions (i.e. profitable buyouts by larger corporations or private equity firms), the most interesting of which was acquired by Robinhood, one of the largest and most unique online trading platforms in the world. Not too shabby. 

Although much of VC’s returns are obscure (such is the nature of start-up funding), the three acquisitions and large portfolio of eye-catching companies speak for themselves. The Chainsmokers do run a VC firm… and well at that.

Saracha

Heralding from sunny South Florida, I am a proud Florida Woman. In my free time, I surf the swamp, wrangle gators, open fan mail, and tend to my pets. In the wild, I’m most often spotted at immersive art spaces, step tappin’ in a shadowed corner of the club, hater blockerz on, totally incognito as your resident EDM spice girl. Although I generally tout my spicy side, if there’s one thing I’d love to impress upon the world, it would be this: it’s not a waste to give love to those who do not deserve it – it’s a gift. The world would be a better place if we gave, in kindness and in mercy, to those who need it most with no expectation in return.

See author's posts