Liberty Bitcoin Fund provides access to cryptocurrency to those accredited investors who are interested but slow in making a direct purchase of the coins. It is launched by Hong-Kong based venture capital group CMCC Global.
Digital assets have become an investment choice in portfolios. Hence, a mutual fund is a good option to own cryptocurrencies.
Bauman mentions that the idea of launching Liberty Bitcoin Fund is to provide digital asset management service in Asia.
“We have received more and more questions over the years from our existing investor base about whether we could help them buy Bitcoin “The new fund is really a demand-driven.” Martin Baumann, managing partner of CMCC Global
The funds will utilize AXONE Custody, a safekeeping for digital assets with a wallet by BC Group. The insured wallet BC Group is listed in Hong Kong Stock Exchange.
Liberty Bitcoin Fund is “a single-asset passive tracker of Bitcoin and offers services including buying and safekeeping coins.”
With increasing interest and adoption of digital currencies across the globe, the demand for crypto as asset classes for conventional funds has also increased. However, the extreme volatility of cryptocurrencies, especially the number one crypto Bitcoin, is something that proves to be detrimental to investors’ portfolio returns. But with digital assets gaining recognition and becoming more mature like its inclusion in ETFs and mutual funds, the volatility should subside slowly, making it an appropriate investment option in portfolios with multiple assets . Kostya Etus, CLS Investements’ portfolio manager
Since 2016, CMCC Global set up three funds. The funds are focused mainly on “proprietary technical infrastructure” where developers will be able to build applications on the Ethereum network.