C1 Fund Bets on Uphold, Signaling Mainstream Digital Asset Adoption

PALO ALTO, CA – March 31, 2026 – In a significant move that underscores the increasing institutional appetite for digital finance, C1 Fund Inc. (NYSE: CFND) announced today it has acquired a position in Uphold, a global multi-asset digital money platform. The investment by the publicly traded closed-end fund provides Uphold with a powerful endorsement and injects fresh capital, while expanding C1 Fund’s portfolio exposure to the rapidly maturing digital asset sector.

This transaction places a spotlight on the growing convergence between traditional financial vehicles and the innovative platforms shaping the future of money. For C1 Fund, which specializes in late-stage digital asset companies, the investment is a calculated bet on a platform with a proven track record and a unique market position.

A Strategic Play on Utility and Scale

C1 Fund, which is managed by C1 Advisors LLC, has built its strategy on identifying private companies with durable business models and relevance to the future of financial infrastructure. The addition of Uphold appears to be a direct execution of this thesis.

“Uphold is the type of platform we seek to back at C1 Fund because of its scale, global relevance and alignment with the continued development of digital finance,” said Elliot Han, Chief Investment Officer of C1 Fund Inc., in the official announcement. “Its multi-asset architecture and broad product offering make Uphold a strong addition to our portfolio.”

Founded in 2015, Uphold has carved out a significant niche by offering more than just cryptocurrency trading. The platform serves over 10 million users across more than 150 countries, facilitating access not only to over 300 cryptocurrencies but also to fiat currencies, stablecoins, and precious metals. This broad scope is central to its appeal.

Dr. Najam Kidwai, Chief Executive Officer of C1 Fund, reinforced this view, stating, “We believe the company reflects several of the qualities we prioritize in our investment strategy, including utility, scale and relevance to the continued evolution of financial infrastructure. This investment is consistent with our focus on businesses helping enable broader participation in the digital asset economy.”

The investment from a public entity like C1 Fund is more than just a financial transaction; it's a signal of validation for Uphold's business model, which has powered over $40 billion in transactions since its inception.

Uphold's 'Anything-to-Anything' Advantage

At the heart of Uphold's platform is its proprietary "Anything-to-Anything" trading experience, a key differentiator in a crowded market. This engine allows users to move directly between disparate asset classes—for example, from Bitcoin to gold or from U.S. equities to a foreign currency—in a single, seamless transaction. This process eliminates the need for intermediate conversions, typically to a base currency like the U.S. dollar, which can reduce friction and transaction costs for users.

This unique functionality has helped Uphold build a robust user base and impressive financial metrics. The company, which primarily generates revenue through spreads rather than explicit trading fees, has projected revenues to reach $300 million by 2025, a substantial leap from $80 million in 2022. With gross margins reported to be consistently above 70%, its business model demonstrates significant efficiency.

Beyond its retail offering, Uphold has expanded into B2B solutions, providing backend crypto conversion and payment services for other fintech companies. It has also diversified its revenue streams with features like crypto staking and a recently relaunched U.S. debit card that offers rewards in XRP, further embedding itself in the daily financial lives of its users. This multi-pronged approach positions it as a versatile competitor against larger, crypto-focused exchanges like Coinbase and Binance.

Mainstream Confidence in a Volatile Market

C1 Fund's investment arrives at a pivotal time for the digital asset industry. After navigating turbulent periods, including the high-profile collapses of firms like FTX and Terra Luna, the sector is experiencing a wave of renewed, albeit more cautious, institutional interest. The focus has shifted towards platforms that prioritize regulatory compliance, security, and transparency—qualities that Uphold has actively cultivated.

The company maintains a public transparency page showing that its assets are 100% reserved and has secured regulatory approvals in key markets, including the United States, the United Kingdom, and the European Union. This commitment to compliance makes it a more palatable choice for institutional investors like C1 Fund, who must balance the high-growth potential of digital assets with significant risk management and due diligence requirements.

This investment is a prime example of a broader trend where traditional investment vehicles are providing public market investors with regulated exposure to the private crypto economy. For Uphold, the backing from a publicly traded fund not only provides capital but also enhances its credibility as it reportedly explores a potential U.S. initial public offering (IPO) or a strategic sale at a valuation north of $1.5 billion.

Navigating the Regulatory Frontier

Despite the optimistic outlook, both C1 Fund and Uphold operate within a complex and evolving regulatory environment. In the U.S., agencies like the Securities and Exchange Commission (SEC) are still developing a comprehensive framework for digital assets, creating a backdrop of uncertainty for all industry participants.

Platforms that handle a wide array of assets, like Uphold, face particular scrutiny regarding which tokens might be classified as securities. However, Uphold's strategy of proactive engagement with regulators across multiple jurisdictions may provide it with a competitive advantage. Its ability to navigate these complexities and maintain good standing in major financial markets is likely a key factor behind C1 Fund's decision to invest.

The capital infusion from C1 Fund will likely be deployed to further strengthen Uphold's platform, expand its global footprint, and continue innovating on its product offerings. As the lines between traditional finance and digital finance continue to blur, this partnership represents a strategic positioning by both firms to capture the opportunities arising from the ongoing evolution of the global financial infrastructure. The success of this investment could serve as a key barometer for how Wall Street's relationship with the digital asset economy will mature in the coming years.