Reality Shares to Launch $100M Crypto-Fund
As one of the very small numbers of companies that own blockchain exchange-traded funds within the United States, Reality Shares is contemplating on launching a new digital currency hedge fund worth $100M as reports have stated on the 14th of August.
According to an unidentified source, Reality Shares has already contributed $25M to the new initiative. The hedge fund will consist of strategies including arbitrage, venture, and direction. As of now, there is no specific information or details on why the company will launch the new fund.
366 digital funds exist as of now as data by CFR has revealed. Despite this, under 30 of these funds operate and manage over $100M and due to this, Reality Shares’ new fund automatically becomes one of latest important projects within the digital currency industry, more notably during the current downtrend of the market and its recent price fluctuations.
At the beginning of this year, the company initiated BLCN, its first blockchain exchange-traded fund on NASDAQ’s exchange. The ETF monitors the company’s Nasdaq blockchain index which hosts companies that are directly involved in research, integration, and implementation, backing and introducing new crypto-tech to many sections within the industry. The index also holds many names like Overstock and Hive.
BLCN managed to drop just over 2 percent on the day on NASDAQ and no public or official reaction to the announcement of a new digital currency hedge fund in development. Following BLCN’s launch, the company’s Chief Executive Officer, Eric Ervin, stated that he was in no way opposing cryptocurrencies and he and his company is firmly faithful in the tech itself. He adds that when thinking about crypto-technology instead of the coins themselves, digital coins are very far out in terms of speculation.