Bitwise Bitcoin Fund raises $9 million from inflation-wary investors
Crypto asset management firm Bitwise has raised about $9 million for its bitcoin fund.
The detail was revealed in a regulatory form filed with the U.S. Securities and Exchange Commission last week. Forty-three investors contributed to the amount, with a minimum investment being $3,950.
Bitwise Bitcoin Fund was first launched in December 2018 and had raised only $153,400 at the time. Last year, the fund raised about $4.1 million. The latest surge in the amount is from investors looking for a hedge against inflation, Bitwise's head of research, Matthew Hougan, told CoinDesk.
"With the unprecedented expansion of the Fed's balance sheet, the radical amounts of fiscal stimulus, and the Fed's new and significantly more dovish inflation policy, [Bitwise clients] are looking for a hedge," said Hougan. "Bitcoin is the most efficient hedge for inflation that exists in today's market."
Bitwise also offers an Ethereum fund and a crypto index fund. The Ethereum fund raised only about $29,700 last year, while the index fund raised about $66.5 million in June of this year.
Bitwise rival Grayscale, on the other hand, manages $5.8 billion worth of assets across its funds.