Deus X Capital to Shut Down as Backers Split Strategies

Crypto and fintech investment firm Deus X Capital is ceasing operations and will formally unwind on Jan. 31, 2027, the company told CoinDesk. The family office-backed firm, which launched in October 2023 with $1 billion in existing assets and capital, is shutting down as its backers split to pursue separate investment strategies, including a heavy focus on artificial intelligence (AI).

Backers Split Into AI and Fintech

The Morton family investors behind Deus X are dividing their investment activities into two new entities. Shane Morton is establishing Darius, an investment firm focused on artificial intelligence. Meanwhile, Owen and Jason Morton are launching 95, which will focus on markets and fintech.

Deus X Chief Executive Officer Tim Grant, a former Galaxy Digital executive, will transition to become the CEO of TensorX, an AI venture within Darius owned by Shane Morton. Grant noted in an interview with CoinDesk that the new venture aims to be a prominent player in the European AI sector. Chief Investment Officer Stuart Connolly will remain at Deus X to oversee the formal unwind in January 2027, while some portfolio businesses will continue operating with existing stakeholders.

Shift From Crypto to AI

The closure of Deus X highlights the growing competition between the digital asset and artificial intelligence sectors for investor attention and capital. According to a September report from Galaxy Research, rising interest in AI has diverted attention from digital assets, compounding fundraising challenges for crypto venture firms.

Deus X debuted with a strategy spanning private equity, venture capital, and hedge fund allocations. Its initial portfolio included stakes in Galaxy Digital and asset manager Hilbert Group, alongside allocations to several hedge funds. In September 2024, the firm launched Solstice Labs to build institutional-grade decentralized finance (DeFi) products. Its portfolio also featured proprietary trading firm Alpha Lab 40 and crypto prime broker Cor Prime, which launched with a $100 million risk-capital commitment from Deus X. The firm stated it has generated annual returns of 36.5% since its inception, though it declined to disclose its total capital.

Key facts

• Deus X Capital will cease operations and formally unwind on Jan. 31, 2027.
• The firm launched in October 2023 with $1 billion in existing investments and capital.
• Backer Shane Morton is launching AI-focused Darius, while Owen and Jason Morton are establishing fintech-focused 95.
• CEO Tim Grant will leave to lead TensorX, an AI venture under Darius.
• CIO Stuart Connolly will stay to oversee the transition and unwind.