Hedge Fund BXB Capital To Launch New Bitcoin-Focused Trading Fund

Key Points:

• BXB Capital plans to create a new $27 million fund that accepts only Bitcoin as payment.
• According to reports, the fund has raised $10 million from prominent cryptocurrency investors.
• The new fund is notable because its limited partners invest directly in Bitcoin, with all trading techniques and rewards likewise based on the world’s largest cryptocurrency.

BXB Capital, a crypto hedge fund, will create a trading fund focused only on Bitcoin.

According to Fortune, Singapore-based crypto hedge firm BXB Capital intends to create a Bitcoin-focused fund in July 2023. BXB took a different strategy with the new fund, aiming to raise funds entirely in Bitcoin, with an ultimate objective of up to 1,000 BTC (about $27 million). Investors have already given the startup 400 BTC, or almost $10 million.

This is BXB’s first serious effort to raise outside cash. Although they declined to identify the investors, BXB co-founders J.J. Petersen and Alex Friedberg said that they are high-profile crypto personalities.

Investors, according to Petersen, obtain exposure to Bitcoin without being engaged in lending operations. As a result, the profits are distributed in Bitcoin rather than dollars and euros.

BXB Capital was created in 2017 as a trading business only focused on profiting from arbitrage, taking advantage of the differential in bitcoin prices in South Korea and abroad.

The company’s business has grown over time to encompass a variety of opportunistic trading tactics. Through their firm BxB Inc., Petersen, and Friedberg also established the South Korean won-backed stablecoin KRWb, which was eventually bought by Binance and integrated into a joint venture to launch Binance’s stablecoin BKRW and Binance Korea. Binance Korea, on the other hand, shut down less than a year after its start owing to liquidity and transaction volume difficulties.

The debut of this new fund comes with a deteriorating market, notwithstanding Bitcoin’s recent increases. Tether, the creator of the biggest stablecoin USDT, has stated that it would spend a portion of its income in Bitcoin, abandoning US government bonds in favor of cryptocurrencies.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Harold

Coincu News