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Investment Firm Launches the First ‘Crypto Hedge Fund’ in Spain- Plans to Expand Across Europe, Latin America

Investment Firm Launches the First 'Crypto Hedge Fund' in Spain- Plans to Expand Across Europe, Latin America

In Spain, an investment company has begun to promote what they called the “first crypto hedge fund.” The product has been registered in Malta by Avenue Investment Crypto, headed by a crypto advocate, Martin Huete.

Investments Allocated Mainly in Bitcoin and Ethereum

According to Infobae, the hedge fund “exclusively” targets qualified investors whose minimum investment starts at 100,000 euros ($120,600). However, anyone who would like to join the crypto hedge fund should prove to the firm that they hold assets for 750,000 euros ($904,900).

Although Avenue Investment Crypto just launched the product, it was created by the firm in 2019. Huete was appointed as the institutional relations manager amid the commercialization phase of the crypto hedge fund.

Within the portfolio offered by the firm, the total exposure of the crypto hedge fund ranges between 40% and 100% of the fund with investments in ethereum (ETH), bitcoin (BTC), and other undisclosed cryptos.

Still, the fiat serving as base currency fund is the euro, and Avenue Investment Crypto clarified all profits accrue.

Firm Expects to Raise $122 Million by the End of 2021

The people in charge of managing the crypto hedge fund are Arne Vaagen and Francisco Gordillo.

Vaagen co-founded the hedge fund Futuris with Brummer & Partners in 1999, with over 1,300 million euros under management. Also, Gordillo has 25-years’ experience in the banking sector, and since 2012, it has been studying the cryptocurrencies sector, said the firm.

Gordillo commented about the crypto hedge fund:

What we propose to the investor is that they keep a plot of the future; it is like investing in Wall Street in its founding moments, taking a position on the foundations of the future.

In the first instance, the investment company seeks to promote the fund across Spain, Portugal, and North Europe. Moreover, the second stage targets Latin America and the rest of Europe.

Avenue Investment Crypto expects to collect almost $122 million before the end of 2021. As of press time, they’ve raised over $24 million.

What are your thoughts on the idea of a crypto hedge fund? Let us know in the comments section below.

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Dubai Crypto Funds Backing Helps Cardano (ADA) Unsettle Binance Coin (BNB) As The Third Largest Crypto

Cardano-ADA-Goguen-Charles-Hoskinson

Smart contracts-based blockchain platform Cardano is currently undergoing massive value unlocking as its native cryptocurrency ADA unsettles Binance Coin (BNB) to become the third-largest cryptocurrency by market cap. at press time, Cardano’s price is up 23% hitting its new all-time high of $1.33 with its market cap shooting past $41 billion.

It’s been a wild rally so far in 2021 for Cardano’s ADA cryptocurrency registering over 630% gains year-to-date. The recent price rally comes as Dubai-based crypto investment fund FD7 Ventures has announced major investments ahead in Cardano over the next month.

As per the press release, FD7 ventures will liquidate 75% of its $1 Billion Bitcoin fund and increase its positions in Cardano (ADA) and Polkadot (DOT). The investment firm believes that an increase in its altcoin holdings will better serve FD7 investors. Prakash Chand, Managing Director at FD7 Ventures said that he doesn’t see much value in holding up to Bitcoin for the long term. Mr. Chand said:

“Aside from the fact that Bitcoin was first to market and society has given it meaning as a store of value, I think Bitcoin is actually pretty useless. Projects such as Cardano, Polkadot and Ethereum are the foundation of the new internet and Web 3.0.”

The crypto investment firm has already started transitioning its funds and expects to complete the conversion transactions by mid-to-end March. Over the last few years, Cardano CEO Charles Hoskinson (also the founding member of Ethereum) has been single-handedly steering up some core developments in Cardano.

Cardano Blockchain Network Development

Under the leadership of Charles Hoskinson, Cardano’s ADA team has been relentlessly working in building blockchain solutions that address the needs of millions of unbanked customers. Besides, several updates recently introduced on the Cardano protocol has brought more functionality for consumers thereby growing the community stronger.

Besides, the much-awaited Mary hardfork on Cardano is set to take place two days later on March 1. this will give users the ability to create their own native custom tokens adding multi-asset support to the platform. “Native assets could be used to mint non-fungible tokens, or ‘NFTs’, which can be used to represent a huge range of unique real-world and digital assets.”, said the Cardano Foundation.

Looking at the future development for Cardano, FD7 Ventures director calls Charles Hoskinson as one of the brightest minds in crypto.

“I’ve been lucky enough to spend lots time with the brightest minds in crypto and I’m willing to bet that each of Ethereum, Cardano and Polkadot will be more valuable than Bitcoin within the next few years,” continued Chand.

Cardano Announcing Its New DevNet Platform

On Friday, February 27, Cardano’s parent IOHK announced support for its new DevNet program. The program introduces a new multi-platform domain-specific language (DSL) Glow that will allow developers to write smart contracts and deploy on different Cardano sidechains. The official announcement notes:

“Glow is portable. Now it works on Cardano and Ethereum but in the future it will work with any blockchain that is sufficiently advanced. That means that you can run your app once and you’ll never have to worry about it working on any other platform. So, developers will run their application on the blockchain that works the best and those that work best will shine on their own merits. This makes blockchains compete to bring a solid value proposition”.

The post Dubai Crypto Funds Backing Helps Cardano (ADA) Unsettle Binance Coin (BNB) As The Third Largest Crypto appeared first on Coingape.

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China’s Bitcoin Mining Rig Manufacturers Pressed by Demand, Advance Orders, Devices Sold Out

China's Bitcoin Mining Rig Manufacturers Pressed by Demand, Advance Orders, Devices Sold Out

A regional report from China indicates that bitcoin mining rig manufacturers have seen a massive surge in demand since the price of the leading crypto asset skyrocketed. Companies such as Canaan Creative have placed significantly sized mining rig orders while other companies like Bitmain are completely sold out.

Bitcoin Mining Rig Manufacturers Experience a Device Demand Boom

Bitcoin (BTC) prices in February have spiked considerably in value and this has fueled the BTC mining sector a great deal. On Friday, the Bitcoin network hashrate is hovering above the 150 exahash (EH/s) range and there are 21 pools directing hashrate at the blockchain.

On Sunday, February 21, 2021, BTC prices touched an all-time high (ATH) at $58,354 per unit but the price has since dropped in value since then. The price per BTC has been hovering around the $47k handle at the time of publication on Friday afternoon (EST).

On Thursday, a regional report from China details that Chinese mining device manufacturing businesses are seeing lots of demand for products. China’s Global Times contributor Yin Yeping highlights that mining machine makers [are] seeing a surge in demand.”

The report notes that Shanghai Securities News revealed that Canaan Creative shares jumped 318% this year. Moreover, the company Ebang and Ebon International shares were up 82%.

Advance-Orders and Sold Out Stock

Yeping’s report also says that Canaan has revealed it has seen a “jump in orders since last year.” Central Asia and North America were the two regions with the most demand for mining devices, Canaan detailed.

On Tuesday, Canaan told the regional publication that it has contracted advance orders from both Core Scientific and Hive Blockchain. Canaan will supply 6,400 ASIC mining machines to Hive and 6,000 mining rigs to Core Scientific.

According to Canaan, 100,000 units have been pre-ordered by customers from North America this year and the firm claims to have seen advance payments of up to $200 million. Yeping also highlights that Bitmain is completely sold out and “new products are not available yet.”

Bitmain’s website shows the company’s latest machines but the devices are indeed sold out and the website’s new orders display says “to be determined (TBD)” Microbt’s Whatsminer products are also sold out as well.

The company Innosilicon’s ASIC mining rigs are completely sold out and Ebang’s web portal says customers need to make an inquiry about orders. Ebang’s site also notes that shipments are “3-3.5 months after payment.”

The lack of ASIC availability directly from the sources has made bitcoin mining rig second market prices skyrocket. For instance, a Microbt-made Whatsminer M20S 68TH/s located in the U.S. on Ebay is selling for $5,000. Machines with 11-13TH/s are selling for $250-$800 per unit on Ebay.

What do you think about the surge in demand for bitcoin mining machines? Let us know what you think about this subject in the comments section below.

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Modulus CEO: PDAX Collapse Under Heavy Volume Highlights Importance of Quality Crypto Exchange Technology

Reports indicate that PDAX, the largest cryptocurrency exchange in Southeast Asia, failed under heavy volume, as Bitcoin began trading at $6,000, nearly 90% below market pricing. The exchange announced that the incident was not caused by hackers, but that, instead, it was a glitch triggered by high activity. The exchange has asked for traders to return Bitcoin purchased at the discounted rate.

“There’s a great deal of talk and outrage that the exchange is demanding the return of purchased Bitcoin. There’s even more outrage that customers have been locked out of accounts and threatened with legal action, but, in truth, that’s only a symptom of the real problem,” explained Richard Gardner, CEO of Modulus, a US-based developer of ultra-high-performance trading and surveillance technology that powers global equities, derivatives, and digital asset exchanges.

“The truth is that this is just the beginning. Most exchange operators lack the skillset to build out their own technology stacks. So, they use white-label technology to get to market faster. The problem is that most exchange technology providers are brand new to the exchange space and have rushed their products to market. They don’t understand the true pressures exchanges face during trading surges,” noted Gardner.

Modulus is known throughout the financial technology segment as a leader in the development of ultra-high frequency trading systems and blockchain technologies. Over the past twenty years, the company has built technology for the world’s most notable exchanges, with a client list that includes NASDAQ, Goldman Sachs, Merrill Lynch, JP Morgan Chase, Bank of America, Barclays, Siemens, Shell, Yahoo!, Microsoft, Cornell University, and the University of Chicago.

“These fly-by-night technology providers never count on an exchange to actually make it big. They expect them to flounder in anonymity, never facing true challenges, such as heavy traffic or experienced hackers. But, as an exchange grows, the quality of the technology that is required for smooth operation increases exponentially,” Gardner said.

“One thing that exchange operators should consider is where their technology provider is geographically-based. It sounds like a strange thing to place heavy emphasis on, now that we live in a flat world. But, in this case, geography is truly important because of the legal jurisdiction that goes along with it. When you utilize a technology provider that is domiciled in a country which prevents you from taking legal action, should the worst happen, as it has for PDAX, there is little to no recourse,” explained Gardner. “Many providers specifically choose to domicile in countries where they are protected from all liability for their failures.”

In the opinion of the attorney representing affected traders, transactions were “legitimate under applicable laws, decided cases, and of course according to PDAX’s very own terms and conditions/user agreement.”

“For an exchange, perhaps even worse than the financial hit stemming directly from a glitch, the more significant risk, long-term, is that, after being threatened with legal action, customers will lose faith in the exchange’s ability to serve as an honest broker. After all, if, when trading, they did act within the bounds of the terms and conditions of the exchange, it is fair to expect that they would get to keep the digital assets for which they paid, albeit at an extremely discounted rate. If PDAX survives the financial hit, it is entirely plausible that they cannot overcome the public relations disaster that follows,” extrapolated Gardner.

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Bitcoin exchange Xcoins receives In-Principle Approval for Malta’s VFA license

Xcoins, a cryptocurrency platform that provides quick and secure bitcoin and altcoin exchange services, announced today that the company has just received their In-Principle Approval for their Class 3 VFA (Virtual Financial Assets) License issued by Malta Financial Services Authority (MFSA).

This makes Xcoins one of the very few cryptocurrency exchanges to obtain these permissions.

“As the digital asset space explodes globally, the need for clear and meaningful regulation is more important than ever. Our commitment to building a fully regulated business is now one step closer to realization. Being one of the first cryptocurrency platforms to receive In-Principle approval by the MFSA, for a Class 3 VFA license, is a historic milestone for Xcoins. We look forward to serving customers globally and securing additional licenses throughout 2021.”
– CEO and Founder at Xcoins, Rob Frye

This milestone means customers can feel secure that they are trading cryptocurrencies on a platform that has been licensed by reputable authorities who are driving industry standards.

“Xcoins had fabulous growth since their first time contacting DWP VFA Agent Ltd. After a lot of hard work, they are now a step closer to being licensed by the Malta Financial Services Authority. I am incredibly proud to have been part of their application process and also very excited to see what the future holds.”
– Dr. Rebecca Misfud, VFA Agent at DWP

Fulfilling the conditions and the on-going obligations of the international laws and regulations is proof of Xcoins’ commitment to providing secure and compliant crypto services, protecting users’ fiat and crypto funds, across the world.

Source:
xcoins.com

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This was avoidable – The lost Bitcoin fortunes

Ever had a few million dollars right at your fingertips? It turns out, Stefan Tomas, a programmer, based in San Francisco, has $220 million locked away but is unable to access it because of a forgotten password.

Years ago, Stefan wrote down the password to unlock his IronKey, a small hard drive containing a digital wallet of 7,002 Bitcoin, and since lost the paper with its password.

After locking away his fortunes, Stefan has tried eight attempts at unlocking the IronKey with two attempts left before IronKey sieges the information and encrypts its fortunes forever.

Stefan’s story highlights an unfortunate reality for those playing with cryptocurrencies–in fact, 20 percent of Bitcoin, worth $140 billion, is lost or stranded in digital wallets. As more people trade and mine digital currencies like Bitcoin, understanding the potential security pitfalls is more critical than ever.

To avoid becoming a victim of a lost fortune due to poor password management, the following tactics help encourage better security practices, as well as staying safe with cryptocurrency.

Understand Storage Options

As with any online purchase, it’s important to do your homework and avoid any sketchy-looking e-commerce websites–the same goes for cryptocurrency trading websites. While there are no federally insured crypto websites, it’s crucial to still research reputations from other community investors.

As investors determine the type of wallet to store their assets, it’s essential to be mindful of all security issues at play.

There are four wallets to choose from, including software, hardware, paper, and crypto exchanges. Hackers regularly exploit the vulnerabilities in the crypto exchanges, so it’s best not to store large amounts of funds here.

Hardware wallets are best recommended for security since they require a 24-character key for access. However, users must be mindful not to lose the physical device or access codes. Software wallets allow users to store information digitally, and are an ideal solution for those trading in low volumes.

No matter what option you choose, it’s essential to store your key passwords in a secure, easily accessible location to avoid being locked out of any fortune.

Downloading a digital wallet such as a password manager ensures your password keys are accessible and cryptocurrency coins remain safe and within reach.

Maintain Password Best Practices

Not only should crypto users consider their storage options, but they should also implement security best practices to stay safe while playing with cryptocurrency.

When selecting a digital wallet, be sure to look for options that offer two-factor authentication or multi-factor authentication (MFA).

Selecting an exchange or wallet that offers this enhanced security makes it more difficult for hackers to break in and access your information.

Users should also employ basic password best practices to protect themselves online. Strategically choosing long, randomly generated passwords with a variety of symbols, digits, and capitalization can help strengthen your accounts’ security.

While these passwords may be harder to remember, using a password manager as a resource can help individuals store their passwords safely with ease of access.

Avoid the Next Bitcoin Misfortune

Stefan’s Bitcoin nightmare reinforces that nobody is exempt when it comes to the consequences of bad password behaviors. To avoid a similar mishap, crypto users need to follow security best practices and understand the security implications when choosing a storage option.

For crypto users, security education and awareness must be a top priority to decrease the number of password-related horror stories, and ultimately, gain your Bitcoin fortunes.

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Increasing stock market volatility drags Bitcoin and altcoin prices lower

The cryptocurrency market faced another day of downward pressure as the unease in the traditional markets continues to spread following the recent interest rate spike on the 10-year U.S. Treasury bond.

Data from Cointelegraph Markets and TradingView shows that the price of Bitcoin (BTC) fell to a low at $44,710 late on Feb. 25 before buying at the key support returned to help the digital asset recover back above $46,500 but generally, analysts are looking for $50,000 to become an established support before expecting bullish continuation.

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BTC/USDT 4-hour chart. Source: TradingView

Despite major BTC purchases by MicroStrategy, Tesla and MassMutual, a majority of institutional investors still have security and tax treatment concerns that prevent them from investing in Bitcoin, according to Galaxy Digital co-president Damien Vanderwilt.

Institutional investment has been a significant source of optimism in the cryptocurrency sector in 2021, but its influence in helping BTC reach a market cap of $1 trillion may be overstated as recent analysis shows that stablecoin whales and retail traders still hold the most buying power.

Interest rate increase puts pressure on GBTC

On Feb. 25, the interest rate for the 10-year U.S. Treasury spiked to 1.52%, its highest level in over a year.

According to Chad Steinglass, Head of Trading at CrossTower, the move led to market-wide pressure that pushed the “GBTC premium down as low as negative 6% and it closed around negative 2% today.” The analyst sees interest rate volatility as a major source of market volatility, as the long end of the curve steepens while the U.S. dollar is pushed lower.

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Daily cryptocurrency market performance. Source: Coin360

Cryptocurrencies fell under increased pressures as equity markets deteriorated throughout the day, possibly due to a “scramble for liquidity” resulting from traders “pushing up against margin calls and needing to free up cash.”

Steinglass said:

“I interpret the GBTC premium collapse as a sign that either retail is dumping to free liquidity, or large fund holders like ARKW are seeing outflows, which causes them to sell GBTC along with everything else.”

Traditional markets are still choppy

The 10-year Treasury yield pulled back .0582 basis points to 1.46 on Feb. 26, marking a 3.82% decrease from its high on the previous day. This leadi to a choppy day in the markets which saw the major indices close mixed.

The NASDAQ finished the day up 0.56%, recovering some of its losses from the 3.5% drop on Feb. 25. Meanwhile, the S&P 500 and DOW finished the day in the red, down 0.48% and 1.51% respectively.

A majority of the top cryptocurrencies also took on sharp losses on Friday, with the exception of Cardano (ADA), which became the third-ranked cryptocurrency by market cap after its price broke out to a new all-time high at $1.29. The current excitement for the altcoin appears to be connected to the upcoming ‘Mary’ mainnet launch scheduled for March 1.

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ADA/USDT 4-hour chart. Source: TradingView

Basic Attention Token (BAT) has also battled back against the market sell-off to post a 6.43% gain following the Feb. 23 announcement of the upcoming Brave Decentralized Exchange (DEX).

Ether (ETH) price is down 7.19% and trading below $1,500, while Binance Coin (BNB) has dropped 8.36% to $224.14

The overall cryptocurrency market cap now stands at $1.533 trillion and Bitcoin’s dominance rate is 61.3%.

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177-Year-Old Swiss Bank Bordier to Offer Bitcoin and Other Crypto Trading Services

177-Year-Old Swiss Bank Bordier to Offer Bitcoin and Other Cryptocurrencies Trading Services

A 177-year-old bank in Switzerland has enabled cryptocurrency trading within its services, with expectations to expand. Bordier & Cie SCmA added bitcoin and other cryptos to its list of services by partnering with a well-known domestic crypto player.

Bordier Customers Can Also Buy and Hold Other Cryptos

According to the announcement, the Swiss bank, founded in 1844, argued that a surge in demand from their clients encouraged them to include cryptocurrencies. Bordier & Cie SCmA management believes that they needed to diversify into “alternative asset classes such as digital assets.”

Bordier partnered with Sygnum Bank, one of the first Swiss crypto banks, to support the infrastructure management behind the crypto’s offering. It includes the custody of the private keys to control access to the cryptocurrencies and connect with liquidity providers.

With the new service, Bordier’s clients will have the possibility to buy, trade, and hold digital assets such as bitcoin (BTC), Ethereum (ETH), bitcoin cash (BCH), and tezos (XTZ). However, the banking institution seeks to expand further the offering.

Bitcoin Is the ‘New Digital Gold’

Mathias Imbach, Sygnum Bank’s Group CEO, commented on the implications that the announcement has for the current financial’s environment:

Bordier continues its 177-year tradition of safeguarding clients’ wealth for future generations by offering the ‘next generation’ of assets to its clients. Bordier’s timeless values and Sygnum Bank’s vision for Future Finance is a powerful combination in the changing financial landscape.

Bordier & Cie SCmA praised the total crypto market capitalization during the announcement, which increased almost four-fold in 2020. The Swiss bank also added:

In a portfolio context, cryptocurrencies’ high-growth and low-correlation to traditional assets makes them a powerful tool to enhance diversification and achieve superior risk-adjusted returns. Bitcoin, in particular, which many see as the new “digital gold” due to its ability to hedge against inflationary pressure, has seen strong institutional adoption as an alternative investment.

What do you think about this announcement coming from Switzerland? Let us know in the comments section below.

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Cardano is now a top-three cryptocurrency as ADA price soars 27% in 24 hours

Cardano’s Ada received a fresh wave of optimism and buying volume on Feb. 26 that pushed its price to a new all-time high of $1.29, making it the third-ranked cryptocurrency by market capitalization.

Data from Cointelegraph Markets and TradingView shows that Ada surged 27% from a low of $0.98 during the early trading hours on Feb. 26 to its new high at $1.29 on record trading volume.

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ADA/USDT 4-hour chart. Source: TradingView

Momentum for the project has been building throughout the month of February following the integration of the Mary upgrade to Cardano’s testnet on Feb. 3. The upgrade enables smart contract functionality, helping transform the blockchain into a multiasset network similar to Ethereum.

The latest rise in price coincided with Cardano founder Charles Hoskinson posting the following tweet, indicating Mary would be live on the mainnet at the beginning of the next epoch on March 1:

Ada briefly spiked to $1.17 following the announcement before pressures in the broader cryptocurrency market pushed it back below the $1.00 level on Feb. 25.

Thereafter, the trading volume for Ada has surged to a new record of $12.8 billion, helping elevate it to a new all-time high. The open interest for Ada futures also rose to $580 million, surpassing Litecoin (LTC) to become the third-largest derivatives market.

According to data from Cointelegraph Markets Pro, meanwhile, market conditions for Ada have been favorable for some time.

The VORTECS(TM) score, exclusive to Cointelegraph, is an algorithmic comparison of historic and current market conditions derived from a combination of data points including market sentiment, trading volume, recent price movements and Twitter activity.

VORTECS(TM) Score (green) vs. Ada price. Source: Cointelegraph Markets Pro

As seen on the chart above, the VORTECS(TM) score for Ada reached a high of 79 on Feb. 25, around 24 hours before the price began to spike 27% to a new all-time high.

Smart contract functionality is the key component of the Mary upgrade and is expected to usher in a new era of functionality for the Cardano ecosystem. Once integrated, decentralized finance applications will be able to operate on the network and provide an outlet for users who are looking to escape high gas fees on the Ethereum network.