New York Digital Investments Group (NYDIG) raised $150 million for 2 new funds to spend money on cryptocurrencies, a transfer that underscores the one-stop crypto store’s skyrocketing clout on the institutional bitcoin scene.
As revealed in two U.S. Securities and Alternate Fee filings, NYDIG Digital Property Fund I raised $50 million from institutional traders whereas NYDIG Digital Property Fund II raised $100 million.
A supply aware of the matter confirmed to CoinDesk that Fund I invests completely in bitcoin. The supply mentioned it’s NYDIG’s newest providing for a rising lineup of institutional purchasers going lengthy on BTC.
It was not instantly clear whether or not Fund II additionally invests solely within the market-leading cryptocurrency.
However extra intriguing than the dimensions of the 2 new NYDIG choices are the id of the whales who purchased in. Simply two unnamed traders seem to have participated in NYDIG’s $50 million bitcoin fund, whereas it appears its bigger brother bought all its money from only one.
The funds seize the extent to which deep-pocketed gamers are powering the 2020 bull run. Companies making the crypto their treasury reserve, storied traders pumping their luggage on CNBC and establishments piling in have mixed to push BTC to new all-time highs.
That crypto-forward institutional traders would flock to NYDIG needs to be no shock to these aware of the house. NYDIG was spun out of $10 billion Stone Ridge Asset Administration in 2017 with a mission to courtroom institutional cryptocurrency newcomers. It shortly employed BitLicense architect Benjamin Lawsky and secured $50 million in funding to construct out the workforce.
NYDIG raised a further $50 million in development fairness in October. It now provides custody, execution, funding and prime brokerage providers to hedge funds, pensions, banks and different high-dollar purchasers.
The 2 funds proceed NYDIG’s latest pattern of registering its crypto choices as Rule 506(c) funding autos. Basically, meaning NYDIG can promote the funds to a wider viewers.