This Crypto Hedge Fund More Than Doubled Its Returns This Year Despite The Crisis

Plus new financings and activity around censorship resistant domains

Happy Thursday, Blockfolians

The Lede

Here’s an unexpected story of financial success in what has admittedly been a very difficult period for most investors.

A Crypto Hedge Fund | Hacker Noon

For Blocktower, however, it has been a strong performing period. According to CoinDesk:

The fund – loaded at its August 2017 inception with $140 million in assets – has returned 33% in just the first four months of 2020, two BlockTower investors said. The four-month return beat in that period bitcoin (up 20%, according to the CoinDesk Bitcoin Price Index), the S&P 500 (down 10% in the biggest drop since the 2008 recession, according to Federal Reserve Bank of St. Louis data) and hedge funds broadly (up 21.4% in crypto and down 4.5% out of it, according to Eurekahedge average return profiles).

So what was the secret? According to one insider: “the hedge fund has been deploying spot, derivatives and algorithmic trades to capture returns from extreme movements, market dislocations and sudden volatility like the recent market upheaval.”

Not bad for one of the most economically volatile periods in global history!

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Community Commentary

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Preston Pysh has a great breakdown on Miner Capitulation in the wake of the halving

A Really Big Number We Should Be Paying Attention To 

$10,000,000

That’s the volume of trades around censorship-resistant domain names have happened since the launch of Handshake


Final Thought

Absolutely savage work from The Onion.