Kate Irwin posted on the X platform that cryptocurrency venture capital firm Shima Capital has quietly withdrawn from the market. Three weeks ago, the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Shima Capital and its founder, Yida Gao, accusing him of "participating in a scheme to defraud" specific investors. An insider provided her with screenshots of emails Yida Gao sent to the founders of portfolio companies, showing that Gao was resigning and gradually ending the fund's operations. The email read, "I deeply regret the wrong decision I made and apologize to you for letting you down." Shima Capital was founded in 2021 with an initial capital of $200 million and had invested in several cryptocurrency projects, including Berachain, Monad, Pudgy Penguins, Sleepagotchi, and Gunzilla.