2020-12-2 17:26 |
In fillings submitted to the U.S Securities Exchange Commission (SEC), top institutional digital asset fund manager, New York Digital Investment Group (NYDIG) is raising $150 million from high net worth individuals and institutions in two twin cryptocurrency funds. NYDIG provides
“a complete suite of investment, brokerage, treasury, and technology solutions for Bitcoin to institutional allocators, corporations, investment advisers, and high net worth individuals.”
The NYDIG Fund I, LP raised $50 million in a pooled investment fund while its brother fund, NYDIG Fund II, LP, raised $100 million, the filings stated. According to a Coindesk report, Fund I is solely invested in Bitcoin (BTC), as institutions continue to pile up their stock on the largest cryptocurrency. Only two whale investors seem to have invested in the first fund showing that wealthy investors are gradually joining the Bitcoin movement.
The investment follows similar multi-million investments from high net worth investors such as Paul Tudor Jones and investment from institutions such as PayPal and MicroStrategy, who invested $425 million of their Treasury fund in BTC recently.
The bigger NYDIG crypto fund arises from a single investor, with no set plan on which cryptocurrencies to invest in.
Back in October, Robert Gutmann, co-founder and CEO of NYDIG, stated the company is key in driving institutional adoption of Bitcoin, “having grown out of the core capabilities [they] developed in 2017 to manage Stone Ridge Holdings Group’s (its parent company) investment and treasury holdings in Bitcoin.”
Stone Ridge announced a purchase of over 10,000 BTC (~$100 million at the time) as part of its treasury reserve strategy. Gutmann said at the time,
“We are proud to have facilitated one of the largest commitments of treasury assets to Bitcoin announced to date, and see demand for our full suite of corporate treasury and investment solutions accelerating.”
The twin funding process follows a $50 million in growth equity funding in NYDIG and a quadrupling of its institutional investors' number in digital assets across the year. NYDIG currently has over $1 billion in assets under management, custody, and financial balances.
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