In last year’s interview with Daniel Salvucci, Partner at Draper Cygnus, shares how Draper Cygnus, originally founded 12 years ago as a small concept fund investing agnostically in Argentinian founders, has evolved into a significant player in the deep tech space. With notable successes like Auth0 and Satellogic, both of which reached unicorn status, the firm has demonstrated its ability to identify and nurture groundbreaking companies.

Eight years ago, Draper Cygnus partnered with Tim Draper, leveraging his expertise and network to unlock information asymmetries in Silicon Valley. This partnership bolstered the firm's strategy of investing in early-stage deep tech startups, particularly those founded by Latino entrepreneurs. As Daniel explains, their approach involves continuously revising their thesis to remain ahead of the curve, with a focus on frontier technologies such as AI, aerospace, biotech, synthetic biology, blockchain, and new materials.

Daniel discusses Draper Cygnus’s commitment to investing in pre-seed and seed stages, with Fund III aiming for a size of $30 to $50 million. Their strategy includes investing $1 million as a first check and reserving around 30% of the fund for follow-ons. Their portfolio construction approach is intentional and concentrated, targeting no more than 20–30 companies per fund.

Looking ahead,Daniel highlights that Draper Cygnus aims to provide differentiated terms for those participating in their first closing, expected by the end of March this year. For those interested in deep tech or supporting Latino founders, Draper Cygnus presents a unique opportunity to invest in a complementary portfolio that addresses an underserved market.