Former BlackRock Specialists Created Bitcoin Hedge Fund

Two ex-BlackRock fixed income managers have joined forces to set up a cryptocurrency hedge fund called Prime Factor Capital
01 February 2018   812

Adam Grimsley, who was a fixed income specialist for eight years at the BlackRock fund giant, and Michael Wong, who headed up fixed income asset allocation, have teamed up to launch Prime Factor Capital with Nic Niedermowwe, who entered the crypto space in early 2017 with a market-making business.

Niedermowwe will head up the new firm as chief executive while Wong and Grimsley will be CIO and head of investment solutions.

We want to become the BlackRock of crypto asset managers. Regulation is still in its early stages but it is evolving rapidly and we are working with regulators to ensure we are ahead of the game.

 

Nic Niedermowwe

The trio said they have seen the most demand from family offices, high-net-worth clients, and professional investors, while they predicted institutions to move in as well eventually.

Fidelity Investments to Launch BTC & ETH Platform

New platform is designed for institutional investors
16 October 2018   121

One of the world's largest asset managers, Fidelity Investments, announced the launch of a unit focused on providing institutional investors with Bitcoin and Ethereum services. The Forbes reports.

The new division received the name Fidelity Digital Assets and, possessing a staff of 100 employees, will provide a platform for trading cryptocurrencies and consulting services 24/7.

The platform already has first customers, but its launch for a wider range of investors is scheduled for the beginning of 2019.

This is a recognition that there is institutional demand for these assets as a class. Family offices, hedge funds, other sophisticated investors are starting to think seriously about this space.
 

Tom Jessop

Founding head, Fidelity Digital Assets

In particular, Fidelity Digital Assets will offer a transaction service that, using internal cross-connect and order routers, will trade through third-party liquidity providers.

One of the most popular offers by the company can also be a service for storing Bitcoin and other cryptocurrencies. It is physical storage, distributed in different geographical locations and offering the so-called "cold" storage of digital assets. This way of storing cryptocurrencies without access to the Internet and with a multi-level control system is considered to be one of the safest and most resistant to hacking today.

As the CEO of Fidelity Investments, Abigail Johnson, said, the goal of the new platform is to make digital assets like Bitcoin more accessible to investors.

Fidelity Investments is considered the fifth largest asset manager in the world, offering investment and custody services to 13,000 consulting firms and brokers. In total, the company manages assets worth $ 7.2 trillion.