We’ve seen increasing numbers of hedge funds divert attention to cryptocurrencies in recent months.
A European hedge fund has announced that it is going to “significantly expand” its push into digital assets — and launch a cryptocurrency unit.
Brevan Howard is one of the world’s largest hedge funds, with the institution’s chief executive claiming there is a “huge diversity of opportunities within the digital asset space.”
Colleen Sullivan, the former chief executive of CMT Digital, has been brought on board to spearhead private and venture investments in crypto as well.
Back in April, the firm had announced plans to invest up to 1.5% of the assets it had under management into digital assets. At the time, executives said they were confident that cryptocurrencies had the potential to rise in value — and that the fund would gain exposure to a number of different assets, not just Bitcoin.
Subscribe to the CoinMarketRecap podcast on Apple Podcasts and Spotify!
Growing Interest
We’ve seen increasing numbers of hedge funds divert attention to cryptocurrencies in recent months.
Stuart Cole, head macroeconomist at Equiti Capital, told the Reuters news agency:
“What was initially seen as something of a fad now appears to be becoming a more permanent structure of the financial landscape and this has started to see what were initially fringe financial instruments moving to become more mainstream and very much forcing the institutional interest we are now seeing.”
Indeed, some bullish crypto enthusiasts have argued that hedge funds could be at risk of being left behind if they fail to embrace digital assets fully.
