Institutional investors may be shying away from crypto, but digital asset firms are still creating new products to entice them.
IDEG Investment, a Hong Kong-based digital asset management company, recently announced the launch of Asia Bitcoin Trust I and Atlas Mining Trust I, two trusts “designed as a traditional and comfortable way for ‘old money’ to invest in digital assets.”
Asia Bitcoin Trust I is an actively-managed product offering accredited and institutional investors “compliant, secure, and professionally wrapped” bitcoin exposure. Atlas Mining Trust I meanwhile allows traditional investors to participate and share profits from Bitcoin mining activities, a “first of its kind” vehicle, according to IDEG.
The total size of the two trusts is $200 million.
IDEG founder Raymond Yuan said that “Bitcoin is a unique asset class that has no correlation with any traditional asset. Investing in Bitcoin can optimize the risk-to-reward ratio of portfolios.” He added that “It’s time for the institutional investors to include digital assets in their asset allocation strategies. Our positioning is to be a bridge to connect traditional investors and digital assets with the highest transparency and the highest security in the industry.”
“We’ve been in the quantitative trading business for a long time,” said IDEG CEO Kevin Yang. “As the investment manager of the Trust, IDEG will apply a range of hedging and arbitrage strategies in order to gain more Bitcoin for the investors and meanwhile effectively control the risk of drawdowns.”
Photo: Chris Brown from Melbourne, Australia
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