Ego Death Capital Raises 100M to Back Bitcoin Native Startups

Venture capital firm Ego Death Capital closed a $100 million fund focused exclusively on Bitcoin-native companies, per Axios. The capital was raised from family offices and institutional investors who are increasingly drawn to the resilience and long-term potential of Bitcoin.

Rather than scatter investment across the broader crypto landscape, Ego Death is sticking to a narrow thesis: software businesses built solely on Bitcoin. This includes firms already generating between $1 million and $3 million in annual revenue and ready for Series A funding. Founding partner Nico Lechuga sees a clear opportunity as these companies reach a ceiling because they lack capital, and that is where Ego Death steps in.

No Altcoins No Hardware No Hype

Ego Death has zero interest in hardware, avoiding mining operations or wallet manufacturers. It’s also staying clear of tokens and alternative chains. This is not a bet on crypto—it’s a bet on Bitcoin as the only secure and decentralized foundation for meaningful innovation.

“We see Bitcoin as the only decentralized and secure base to be able to build on,” Lechuga stated in a recent interview. That guiding belief shapes every deal the fund makes. 

So far, the firm has backed:

• Roxom, a Bitcoin-native exchange
• Relai, a savings app for stacking sats
• Breez, a Lightning-powered payments platform

According to Ego Death, they’re revenue-generating businesses that align with Bitcoin’s core principles—security, transparency, and decentralization.

The Strategy Behind the Fund

Ego Death Capital’s new fund will lead Series A rounds while also reserving a portion for standout seed-stage startups. The focus remains on scalable software built directly on Bitcoin’s base layer or Lightning Network, allowing revenue to be earned natively in BTC.

Per reports, this is about building durable businesses that offer real utility to users and earn real Bitcoin. For investors, it offers exposure to the next generation of Bitcoin-focused enterprise software, which may outperform even holding BTC itself.

Institutional Appetite for Bitcoin Is Growing Fast

Ego Death’s $100 million fund launch comes at a time of surging institutional interest in Bitcoin. Spot Bitcoin ETFs have already attracted nearly $50 billion since their approval in January 2024. Companies like MicroStrategy and Metaplanet have set the stage for Bitcoin treasury strategies, using BTC as a reserve asset to hedge against inflation and fiat currency risk.

This has led to a wave of corporations—including café chains and mining firms—jumping in with plans to convert parts of their balance sheet to Bitcoin.

Notable moves include:

• DDC Enterprise, which raised $528 million to accumulate Bitcoin
• Vanadi Coffee in Spain, which committed €1 billion to BTC despite having just six stores
• Green Minerals AS in Norway, which plans to raise $1.2 billion for a long-term Bitcoin treasury

But Skepticism Is Rising Over Bitcoin Treasury Strategies

Despite the surge in interest, not everyone is convinced. Some experts have raised concerns about the long-term sustainability of the Bitcoin treasury trend.

Glassnode’s lead analyst, James Check, recently warned that the “easy gains” from corporate BTC strategies may already be behind us. Matthew Sigel, head of digital asset research at VanEck, echoed this view. He argued that at-the-market share issuance strategies could dilute shareholder value—especially when stock prices start to track BTC holdings too closely.

To make matters worse, Pomerantz LLP filed a class-action lawsuit against Michael Saylor’s firm, Strategy, alleging the company misled investors about the risks and profitability of its Bitcoin investment strategy.

However, Ego Death Capital is focused on early-stage Bitcoin-native companies with proven traction, real customers, and recurring revenue.