According to Crypto Fund Research, there are 355 crypto-focused hedge funds worldwide. Most of them have less than $10 million in assets under management.
Here is a list of the top ten crypto hedge funds wordwide based on their estimated assets under management (thanks to Valuewalk*):
Founded by Jeff Nabers and Ryan Ballman, CoinCapital is a hedge fund that focuses on cryptocurrencies, ICOs, and blockchain startups.
9. Multicoin Capital
Multicoin is a $100 million crypto-focused hedge fund. It has the backing of venture capitalists like Andreessen Horowitz and Union Square Partners. Multicoin uses both long and short strategies to trade in at least 11 publicly-traded cryptocurrencies. The hedge fund has also invested in about two dozen blockchain startups.
Founded by Cedric Jeanson in 2014, BitSpread is a London-headquartered crypto hedge fund. It’s a market-making fund that profits by trading crypto assets. On average, BitSpread performs more than 5,000 transactions a day, trading about $1 billion worth of cryptocurrencies every month. It has more than $100 million in assets.
7. BlockTower Capital
BlockTower Capital was founded by former Goldman Sachs executive Matthew Goetz in 2017. As per CryptoFundList, it has at least $150 million in assets. The hedge fund has attracted funding from VC heavyweights like Union Square Ventures and Andreessen Horowitz. BlockTower focuses on thematic investments and event-based trading strategies.
6. Altana Digital Currency Fund
ADCF is an actively-managed, multi-asset cryptocurrency hedge fund. Founded in May 2014, it was Europe’s first crypto fund. It uses both long and short strategies to take advantage of volatility to maximize investor returns. It has an estimated $450 million in assets.
5. Galaxy Digital Assets Fund
Founded by Michael Novogratz, New York-based Galaxy Digital Assets Fund debuted on the crypto landscape in 2018. The hybrid hedge fund invests in digital currencies, ICOs, and related companies. According to CryptoFundList, it launched with $500 million in assets.
4. Alphabit Fund
Domiciled in the Cayman Islands, Alphabit Fund is a hybrid between a hedge fund and an open-ended mutual fund. According to estimates Alphabit has more than $500 million in assets.
3. Polychain Capital
Olaf Carlson-Wee, the former Head of Risk at Coinbase, founded Polychain Capital in 2016. This crypto hedge fund has raised funds from Andreessen Horowitz and Sequoia Capital. The San Francisco-based fund had $967 million in assets at the end of June 2019, according to Crypto Fund Research. The multi-strategy hedge fund invests only in cryptocurrencies, not in companies.
2. Pantera Capital
Pantera Capital was launched in 2003 as a traditional investment fund. It shifted its focus to cryptocurrencies in 2013 with the launch of Pantera Bitcoin Fund. The multi-strategy hedge fund has an estimated $810 million in assets. Pantera has the backing of Fortress Investment Group, Benchmark Capital, and Ribbit Capital.
1. Grayscale Investments
Grayscale Investments is a subsidiary of New York-based Digital Currency Group. According to CoinTelegraph, it had a staggering $2.7 billion in assets in 2019. The crypto hedge fund invests in a wide range of digital assets and blockchain companies. Grayscale has invested in several companies including eToro, Circle, Ledger and Shapeshift.
* You will find more details on Valuewalk