US SEC Sues Shima Capital and Founder; Yida Gao Announces Resignation and Fund Liquidation

The U.S. Securities and Exchange Commission (SEC) filed a lawsuit against crypto venture capital firm Shima Capital and its founder Yida Gao three weeks ago, accusing them of carrying out a scheme to defraud investors. Internal emails reveal that Yida Gao has informed the founders of the invested projects that he will resign from his position and initiate the liquidation of the fund, expressing deep regret for the "wrong decisions." Shima Capital was founded in 2021, manages approximately $200 million, and has invested in several crypto projects including Berachain, Monad, Pudgy Penguins, Sleepagotchi, and Gunzilla.