As cryptocurrencies edge their way more and more into the mainstream of the financial industry, Cayman-Islands headquartered firm Epoch Partners Limited announced on Monday that it has launched the world’s first initial public offering (IPO) of a cryptocurrency and digital assets related fund in Japan.
According to the statement from the company, the move capitalizes on the increasing popularity of cryptocurrencies. The Securities Registration Statement of the fund was initially filed on the Japanese Financial Services’ disclosure system EDINET on September 28, 2018.
Subscriptions for the fund are now open, and according to the statement, will be capped at 100 billion Yen, which translates to around $900 million. The company will invest in funds and other vehicles of investments which have exposure to cryptocurrencies, initial coin offerings (ICOs) and more – all seeking solid returns while reducing volatility.
The fund is being marketed by Teneo Partners, a Tokyo-headquartered Japanese securities firm. The company will sell the fund in addition to other unnamed securities firms in Japan.
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Commenting on the IPO, James Skinner, an Epoch Partners partner said: “Japan has been a leader in the cryptocurrency and digital asset space. They were the first market to create a proper regulatory framework for cryptocurrencies, and as such can be seen as the world pioneer in this area.”
“We were very keen to undertake the world’s first public offering of a cryptocurrency fund in Japan and look forward to great things ahead. The asset class is still young, but the movement to more institutional players like Goldman Sachs and Nomura entering the space shows the great potential of this area. In the future, digital assets are likely to become an integrated part of investment portfolios, similar to equities and fixed income products today, albeit on a smaller scale.”
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Since the beginning of this year, there have been a series of major announcements in the crypto space. This includes Bitcoin futures being traded on CBOE, Japanese giant MUFG revealing plans to create its own cryptocurrency and many more. The launch of the IPO from Epoch is just another testament to the increasing acceptance of digital assets by consumers and investors.
Speaking on the IPO, Stanley Howard, the CEO of Teneo Partners added: “as a fully licensed Japanese securities company that specializes in offering offshore alternative funds to Japanese investors, we are delighted to be working with Epoch Partners. The ability to offer a truly unique diversified digital asset fund to our distribution and investor networks allows us to more fully address the increasingly diverse investment needs of our clientele and to differentiate ourselves from our competitors within the Japanese securities industry.”