The digital asset specialist company "Galaxy", led by "Mike Novogratz", plans to launch a hedge fund worth $100 million aimed at benefiting from volatility in the cryptocurrency market and shares of financial services companies linked to the crypto sector, according to a report by the "Financial Times".
The fund will be of the "Long/Short" type, initially funded with about $100 million from family offices, high-net-worth investors, and institutions.
The fund is expected to allocate up to 30% of its assets for investment in cryptocurrencies, while the remaining portion will be directed towards shares of financial services companies that benefit from or are affected by the regulation of digital assets and the technology associated with them.
The fund is expected to be launched in the first quarter (Q1), marking a new step in "Galaxy"'s recent moves, which included an investment in "Forward Industries", a company described as becoming one of the largest Solana vaults backed by entities like "Jump Crypto" and "Multicoin Capital".
The launch plan comes at a time when Bitcoin is experiencing a strong correction over the past few days, before partially rebounding to near $89,528 after touching $87,900 on Tuesday, according to "CoinGecko".
Despite this decline, "Galaxy" says it remains optimistic in the medium term regarding major assets, seeing wide opportunities linked to regulation, artificial intelligence applications, and the transformation led by digital assets in the markets.