As the market continues to fall, cryptocurrency continues, among consumers and investors, more and more people are aware of digital currencies. More people are starting to use them, say the founders of the new hedge fund Circuit Capital.
Circuit Capital is a new cryptocurrency hedge fund founded by two venture capital investors from Silicon Valley, a former trader at Deutsche Bank AG and a private asset analyst. Hedge fund with offices in San Francisco and Singapore will start in January next year, and the main product will be a unique index that tracks cryptocurrency assets.
“Despite what is happening with prices, we see a growing acceptance and many people who want to develop a cryptocurrency business. We see new talents coming to this area and infrastructure for institutional investors is beginning to form”, said Circuit Capital partner Eugene Ng.
He also noted that the speculative fever, which pushed Bitcoin to the heights at the end of last year, was over, and the first cryptocurrency, along with the rest, returned to the ground. This has hurt many investors, and raised the issue of the durability of the cryptocurrency industry.
Note that Eugene Ng, who previously traded at Deutsche Bank, will deal with the Asian market in conjunction with former Tikehau Capital analysts Aaron Tay. Former stock market analysts who have become venture capital investors Bo Nam, and Richard Jahnke will be engaged in hedge fund operations in the US market.
By the time of its launch, Circuit Capital plans to raise $ 30 million of investments, and then the volume of investments should reach $ 100 million.
The index, developed by Circuit Capital, allows you to evaluate the adoption of cryptocurrency in the market. More than 10 parameters build this system, including the number of active cryptocurrency wallets, trading volumes, hash rate, search queries and so on. Even vacancies in the cryptocurrency area affect the new index.
Bo Nam stressed that their index shows the upward trajectory of the adoption of cryptocurrency in society.