In 2017, cryptocurrency hedge fund revenue exceeded 1000%

nRunaway Comment: According to data from a Singapore hedge fund research firm, the revenue of nine cryptocurrencies reached more than 1,000% last year, which fully demonstrated the popularity of the cryptocurrency market. However, these startups also recognize the risks in the cryptocurrency space and warn investors to invest modestly. If this market can continue to develop, there will certainly be more such hedge funds in the future. However, at present, people can not accurately predict the market trend. Therefore, the future of crypto-currency hedge funds remains to be seen.n
nTranslation: Inan
Some hedge funds that recently entered the cryptocurrency market have achieved spectacular results in 2017.n
Cryptocurrencies are very popular among retail investors, but institutional and mainstream financial firms have not flooded into the field for many reasons: Cryptocurrencies are seen as speculative and risky investments, considered by many top financial professionals The industry is a bubble that will burst at any moment. However, last year, the performance of nine cryptocurrencies hedge funds far exceeded expectations.n
Increase by 1167% in 2017n
A recent report from Bloomberg reported that the nine hedge funds related to cryptocurrency investment rose an overall 1167%. The source of this information is Eurekahedge, a Singapore-based hedge fund research company, and is announced separately.n
In contrast, global hedge funds last year, the overall rate of return of only 8%. It is noteworthy that the performance of these nine cryptocurrencies still lags behind that of bitcoin, which rose by 1403% in 2017 as a whole.n
Not just speculationn
While many hedge fund managers and other top investors are still reluctant to enter the cryptocurrency space, hedge funds that have started to explore this thriving new industry find themselves exposed to more than speculation triggered by higher currency prices.n
Encrypted currency hedge fund strategies may include early equity investments, loans and market making. For some of these strategies, 2017 is not a year of major breakthroughs. But in the future, they may cushion the major recession in the digital money market.n
However, this new type of hedge fund also recognizes the tremendous risk in the cryptocurrency space. The Altana Digital Fund, which has nearly 1500% revenue in 2017, warned its clients that only a fraction of the net worth should be invested in cryptocurrencies. If the bubble finally crashes, cryptocurrency investors may lose all their money in the field, which remains a very worrying thing.n
Most of the hedge funds associated with cryptocurrencies are relatively new and launched in recent years, taking advantage of the industry’s rapidly growing trend. As the digital currency landscape continues to evolve and shift, more hedge funds may join the field if such high profits are sustainable.n

Leave a Reply

Your email address will not be published. Required fields are marked *