Pronounced Destiny
TL;DR
Here’s what you need to know in a nutshell ✨
What is D/XYZ?
D/XYZ (pronounced Destiny) is bridging the gap between the public and private markets, broadening access to transformative innovation that, over the past two decades, has been limited to a select few.
Our flagship offering, the Destiny Tech100, will be a publicly-listed portfolio of 100 of the top venture-backed private technology companies, providing everyday investors access to many of the world’s most exciting private businesses.
Current Tech100 holdings include: SpaceX, OpenAI, Epic Games, Discord, Superhuman, and Stripe.
In the future, we plan to offer a family of similar exchange-traded products, enabling the alignment of public interest and investment in high-growth technology companies that can’t yet be purchased by the general public as equities on stock exchanges like the New York Stock Exchange or Nasdaq.
D/XYZ is a platform sponsored by Destiny XYZ Inc., the owner of Destiny Advisors LLC, which is the investment adviser to Destiny Tech100 Inc.
Destiny Tech100 Inc., is a recently-formed, non-diversified, closed-end management investment company that intends to invest in a portfolio of what it believes to be 100 of the top venture-backed private technology companies.
How it works
The Destiny Tech100 is a first-of-its-kind exchange-listed fund (ELF), an SEC-registered fund product that offers everyday investors the access of the private markets and the liquidity of the public.
| Tech100 | VC Fund | ETF | |
|---|---|---|---|
| Access | Exchange-listed | Private | Exchange-listed |
| Investor Limitations | No minimum investment, anyone with a brokerage account | Typically $200k+ minimum investment, Qualified Purchasers | No minimum, anyone with a brokerage account |
| Focus | Private companies | Private companies | Public companies |
| Portfolio Management | Active | Active | Passive (based on published index) or Active |
| Valuation | Monthly | Annual, unaudited | Daily |
| Fees Paid to Adviser | 2-2.5% management fee, no carry | 2% management fee, 20% carry | Varies, top 10 largest by AUM all <1% |
Private Fund Adviser rules that go into effect February 2025 require venture capital firms to complete an annual audit and provide quarterly investor statements.
The Tech100 will strike a quarterly Net Asset Value (NAV) for its financial statements and, upon listing, make monthly N-PORT filings disclosing the current fair market value of its underlying holdings. These fair value determinations are made by our adviser’s valuation committee with assistance from an independent third-party valuation firm engaged at the direction of our Board.
Under the Investment Advisory Agreement, upon the listing of our shares of common stock on a national securities exchange, we will pay the Adviser a Management Fee, payable quarterly, in an amount equal to 2.50% of our average gross assets, at the end of the two most recently completed calendar quarters.
Why we're the ones to do it
D/XYZ was founded in 2020 on the heels of our success in founding Forge, the largest marketplace for buying and selling private securities.
We founded Forge (NYSE:FRGE) in 2014. Today, the company transacts billions in pre-IPO stock annually; has $15B in assets under custody; and went public in 2022 in a $2B deal with the SPAC Motive Capital Corp, becoming the first dedicated trading platform for private shares to become a public company.
In building Forge, we focused on building infrastructure to support private companies on their missions to create the future. But as the market developed, we saw that most of the world was getting left behind. It pained us that our own parents never had the opportunity to participate in the very ecosystem in which we thrived.
We decided to test out a new model with a spin-off fund, independent of Forge, in 2018. By the end of Q3 2019 the EQUIAM Tech30 Fund was successfully deployed across over 30 of the top private companies at the time, including Snowflake, Airbnb, Robinhood, Doordash, SpaceX, Unity, Opendoor, Lemonade, and Palantir, among others. Many of these companies have since gone public.
This success gave us the confidence to dream bigger. We wanted to do more than just access these companies. We wanted to change who could access them – so we set out to build a product that would let people access marquee private tech companies from the convenience of their brokerage account.
That’s what led to Destiny.
So, why us? Because we've built before and we're just getting started here.
EQUIAM Tech30 was a fund spun out from Forge. It was managed by an independent team to execute on the vision and strategy of creating an index of top private companies and a fund to track the index.
Why it hasn't been done before
At Forge, we focused on building the infrastructure for trading in the private markets, working under the assumption that someone would inevitably make a product like this. But five years ticked by, and no one stepped up.
Most of our peers with the connections and clout to access the world's most sought-after late-stage companies chose a different route: they preferred to launch their own venture capital funds or establish Special Purpose Vehicles (SPVs). Compared to the path we’ve taken, these alternatives call for less demanding disclosure obligations and offer the upside of carried interest (aka “carry”) — a profit-sharing arrangement that can exceed 20% of returns once a fund hits a pre-specified hurdle.
Others settled on relatively uninspiring approaches, pursuing products through crowdfunding or an interval fund wrapper. These options were quicker to bring to market but failed to meaningfully change the way people access private technology companies.
We believe there are no shortcuts to building an enduring product. It takes time, sacrifices, and a willingness to persevere. After four years of dedicated effort, backed by decades of collective experience, the Tech100 dream is about to become a reality.
So, why did it take so long for something like this to exist? Simply put, no one else was willing to take the hard road — until we did.
Why it matters
Everything is more entertaining when you have a stake. Yet while the marriage of interest and investment has driven societal movements in crypto and meme stocks, the world’s most generative companies – private tech unicorns like SpaceX, OpenAI, and Stripe – remain beyond the reach of everyday investors.
Why? Because the opportunity to invest in these companies today is only legally available to institutional and accredited investors — the wealthiest 1% of the global population.*
With the Destiny Tech100’s launch, for the first time, anyone with a U.S. brokerage account will have the opportunity to be bought in to the success of some of the world’s most generative private technology companies – aligning interest and investment in unprecedented fashion.
Our liquid approach to investing in private companies represents the first of many steps on our path to create a new generation of owners – and a fork in a road riddled with empty promises. There are no half-measures here: the Tech100 has no minimum (or maximum) investment amount, no redemption or accreditation limitations, and charges no carry.
While others have focused on opening the doors, we’re tearing down the walls. Welcome to the future of investing.
*And for the accredited, there’s a curtain beyond the curtain – the ability to access deals in marquee late-stage businesses.
General FAQs
Where can I learn more?
Here’s the SEC EDGAR entity page for the Destiny Tech100.
Read it all to stay updated. Subscribe to the RSS feed if you so choose.
How is this the first? Isn’t it like ____?
Great things are built on the backs of their predecessors.
There have been a great many products before us that solved pieces of this puzzle – a representative portfolio of top companies, giving non-accredited investors access to the private markets, and so on – and each of them has excited & inspired us.
The issue is that, while each of these companies had elements of the right answer, none of them quite got to the level of a dream product. That’s what we hope this is.
Why D/XYZ? Why isn’t it spelled “Destiny”?
XYZ is meant to evoke the future: for both the public and private markets.
D/XYZ is at the confluence of these two and the Tech100 fund’s ticker on the New York Stock Exchange, DXYZ, is how our product appears in the portfolio of the everyday investor.
We want the company’s vision and its product to be synonymous with one another; hence, the reason for using D/XYZ as a visual representation of ✨ destiny ✨.
Is this part of Forge?
No.
Who is supporting Destiny?
Early backers of Destiny XYZ and the Destiny Tech100 include the founders of Dropbox and Coinbase; current and former Partners at Sequoia Capital, Greylock Partners, and Y Combinator; and cultural icons such as Nas, Keisuke Honda, and Heather Hasson.
Mission-aligned investors in the Destiny Tech100 include:
- Founders and CEOs of leading future-forward companies such as Plaid, Quora, Caviar, Mercury, Superhuman, Xendit, NerdWallet, Screenhero, Runway, Mux, Truepill, Clever, Augur, Chartboost, and SandboxVR;
- Current and former Partners at Kleiner Perkins, Pantera Capital, Paradigm, Riverwood Capital, Streamlined Ventures, and Better Tomorrow Ventures;
- Early employees and executives at marquee tech companies counting Google, Stripe, Facebook, Snap, and Apple;
- A diverse set of figures across competencies, from law firms such as Wilson Sonsini and Gunderson to sports and entertainment figures such as Prohgress of Far East Movement.
Fund FAQs
When can I invest?
Destiny Tech100 completed the listing of the company’s unrestricted shares on the New York Stock Exchange (NYSE) in March 2024, under the ticker DXYZ.
Do I have to be accredited? Is there a minimum investment?
No & no 😎
Following the Fund's NYSE listing, shares of Destiny Tech100 are accessible to investors regardless of net worth or income, letting individuals access game-changing private companies from the convenience of their brokerage account.
There is no stated minimum investment amount; in practice, it is the price of a share of DXYZ common stock.
The accredited investor definition is part of Regulation D of the Securities Act of 1933 (“Reg D”). In the United States, investors can be considered “accredited” if they meet one of two primary specifications:
1. Net worth of $1,000,000 (excluding the value of one’s primary residence)
2. Income exceeding $200,000 for the last two years (or $300,000 if married)
In August 2020, the SEC amended the accredited investor exemption to include individuals with Series 7, 65, and 82 licenses.
Does this fund have a target life?
The Tech100 fund follows an “evergreen strategy.” This means it does not have a predefined termination date like a venture capital or private equity fund.
Can I invest if I’m a non-United States resident?
If you are a non-resident alien (“NRA”), a citizen of a non-U.S. country who also lives outside of the United States, you may be able to invest in U.S. securities by using a brokerage that is domiciled in the United States.
NRAs are subject to specific tax treatment, as detailed in IRS 515 (Withholding Tax on Non-Resident Aliens) and IRS 901 (Tax Treaties). Please consult an attorney or tax specialist for any advice concerning your particular circumstances.
Why does the Tech100 not have 100 companies in it right now?
Destiny Tech100 currently has a portfolio consisting of 23 companies, though its composition will evolve with time, with the intent of eventually maintaining positions in what we believe are 100 of the top venture-backed private technology companies.
For a full list of current Destiny Tech100 holdings, please visit the Tech100 fund website.
What companies has the Tech100 invested in?
For a full list of current Destiny Tech100 holdings, please visit the Tech100 fund website.
Am I getting shares of the Fund’s portfolio companies when I purchase shares of Destiny Tech100?
Purchasing shares of Destiny Tech100 doesn't grant you direct ownership of shares of Destiny Tech100’s individual portfolio companies. By purchasing shares of Destiny Tech100 you invest in an actively-managed portfolio that owns equity or equity-like interests in some of the top private technology firms.
Essentially, your investment in the Tech100 translates to a proportional share of the fund's collective holdings, offering broad exposure through a single, streamlined investment vehicle.
What are the management fees?
Under the Investment Advisory Agreement, upon the listing of our shares of common stock on a national securities exchange, we will pay the Adviser a Management Fee, payable quarterly, in an amount equal to 2.50% of our average gross assets, at the end of the two most recently completed calendar quarters.
What tax documents will I receive as a Tech100 shareholder?
As a closed-end Regulated Investment Company (RIC), the specific tax characteristics of the distributions will be reported to the Fund’s common shareholders on Form 1099-DIV after the end of the calendar year, if distributions are paid to shareholders during such year.
Investors in Destiny Tech100 Inc. will NOT receive a Schedule K-1 form as the fund is not a limited partnership or limited liability company.
