Investment company US Capital Global Securities on Monday announced that it added a new fund to its portfolio, which has holdings in major blockchain companies including Coinbase, Bakkt, Nomics, and Tagomi.
Dubbed NYCQ Fund, it is managed by CityBlock Capital and its the first tokenized venture fund of the firm. The asset management company detailed that it only holds equities of digital asset company, and does not engage in the holding or trading digital tokens.
“The Fund does not invest in cryptocurrencies or utility tokens, but directly engages in the expansion of the global digital economy through equity investments in early-stage blockchain infrastructure companies,” the announcement noted.
Accredited investors can place $10 million equity investment stakes in the fund. This is the first fund on US Capital Global with stakes of blockchain companies.
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“Combining low minimum investment amounts and early liquidity opportunities, the Fund gives accredited investors access to blockchain infrastructure investments normally available to institutional investors,” Charles Towle, chief executive of US Capital Global Securities, said.
“Our firm is keen to back forward-thinking strategies at the frontline of the digital market era. The opportunity to participate in this $10 million equity investment in the Fund is still open to eligible investors.”
Jumping into crypto investments
The high profitability in the crypto market has attracted many hedge fund managers towards the decade-old market. Though some are only betting on the companies, others go for aggressive investments and trade digital tokens.
Earlier this year, Finance Magnates reported that Elwood Asset Management, a hedge fund owned by British billionaire Alan Howard jumped into investing in blockchain companies and crypto-assets.
Meanwhile, the United Kingdom’s securities watchdog issued a license to Prime Factor Capital, making it the first crypto-focused hedge fund in the country. The company will operate under the guidelines of the European Union and will be allowed to hold more than 100 million euros ($116 million) in asset under management (AUM).