Venture Smart Asia Launches Crypto Fund for Institutional Investors

Venture Smart Asia Launches Crypto Fund for Institutional Investors

Venture Smart Asia, an asset management firm based in Hong Kong, has launched the first regulatory approved crypto fund in the country.

The fund, which targets a size of $100 million in the first year, allows institutional investors to add Bitcoin (BTC) exposure to their portfolios, BTCmanager website reported.

Arrano Capital, the blockchain arm of Venture Smart, has confirmed the launch of its Bitcoin fund in a promising move for the crypto ecosystem. The company has successfully obtained the regulatory approval to deal with digital assets.

It is worth noting that this is the first Bitcoin fund approved by the Securities and Futures Commission (SFC); Hong Kong’s financial regulator.

Bitcoin fund will appeal to institutional investors

Earlier, SFC had granted licenses to several asset managers to undertake their business in the country. However, none of them managed to fulfill the requirements of offering crypto funds to institutional investors.

The Bitcoin fund will appeal to institutional investors who are interested in digital assets. While the fund did not identify any target at launch, Arrano Capital is optimistic that it would manage total assets worth $100 million during the first year.

Arrano Capital CEO Avaneesh Acquilla said his company is planning to launch another fund later this year to manage a basket of crypto assets.

He went on to say:

“We decided to launch this fund to address market demand from professional investors who are increasingly focused on Bitcoin as an alternative store of value. Ultimately for Bitcoin to be widely accepted and for people to trust it, there needs to be regulation.”

In Late Feb, Cryptolydian reported that the People’s Bank of China (PBoC), the country’s central bank, has put off research on digital yuan, which was scheduled for the first quarter of 2020.

Nevertheless, the launch of the central bank digital currency (CBDC) was not affected, as the PBoC has the necessary resources and talent to complete the project.

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Rabea Maguid 551 Articles
Rabea Maguid is a journalist completely obsessed with crypto industry. He holds B.A. from Al-Azhar University, and has a background in journalism and economics. Rabea Maguid likes to think about the future in a positive way, and sees blockchain as a potential driver of deep societal change.