Starting a cryptocurrency hedge fund offers tremendous opportunity. Cryptocurrencies, such as Bitcoin and Ethereum, are lightly regulated convertible virtual currencies based on distributed ledger technology, commonly known as the blockchain. In recent years, adoption of cryptocurrencies has grown at a rapid rate as more consumers and merchants have accepted leading cryptocurrencies as mediums of commercial exchange. At the same time, both novice and sophisticated traders and investors have flocked to cryptocurrency markets seeking extreme returns, and in the process injecting over $6 billion into the marketplace. Moreover, regulated products such as Bitcoin futures and swaps have been introduced, further signaling the broader acceptance of cryptocurrency as a financial asset class. As a result, there exists a significant market opportunity for starting a cryptocurrency hedge fund.
Seizing on these opportunities, asset managers have brought to market a flood of private pooled investment funds focusing on cryptocurrencies and their derivatives. The legal and regulatory environment that these asset managers face is exceedingly complex and evolving on a near weekly basis. Seemingly well-settled areas of law, such as commodities, securities, payments, privacy and tax are in again in flux when applied to cryptocurrency-based hedge funds. The cryptocurrency hedge fund formation experts at Top Global Investors advise fund managers launching funds in this dynamic arena. Top Global Investors is keenly aware of the customised solutions each cryptocurrency hedge fund manager requires and has consistently delivered those expert solutions to its clients.
