Bixin Global, a Hong Kong-based cryptocurrency firm, has launched a fund of funds (FOF) financed with 6,600 Bitcoin (BTC), worth over $65 million as of press time.
Main goal: increase Bitcoin holdings
According to a May 8 announcement, Bixin launched the fund to invest in cryptocurrency funds globally. The FOF is BTC-denominated and its main goal is to increase its Bitcoin holdings.
The strategies of the funds that Bixin intends to invest in will be quant-based and can utilize arbitrage or trend analysis. Furthermore, the firm also hopes to develop partnerships with other firms on mining management, cloud mining and funding of mining operations in general.
Founded in 2009, Bixin provides financial services for cryptocurrency firms such as lending, exchanging and escrow. Bixin’s mining facilitates reportedly use about 300 megawatt-hours of electricity and generates around 3,000 petahashes of computing power, which is equivalent to roughly 2.5% of the network’s total hashrate.
Bixin did not answer Cointelegraph’s inquiry for additional comments by press time.
Cryptocurrency funds continue to thrive
After the major Bitcoin price drop that took place in March — taking down at least one hedge fund — cryptocurrency funds are seeing renewed interest from investors.
As Cointelegraph reported in early April, after three years of work Canadian asset manager 3iQ launched the first fund tied to Bitcoin’s price on the Toronto stock exchange.
Also in April, the United States Securities and Exchange Commission allowed a $10 billion hedge fund to access Chicago Mercantile Exchange’s Bitcoin futures.