Asset Manager NYDIG Raises $150 Million For Two Bitcoin Funds

Jafrin  |  Dec 2, 2020

New York Digital Investment Group (NYDIG) has raised $150 million for two of its crypto funds. The move intends to bring institutional players to the cryptocurrency scene. As revealed in two separate filings with the U.S. Securities and Exchange Commission (SEC), the NYDIG Fund I had received $50 million while the NYDIG Digital Assets Fund II had raised $100 million.

NYDIG Raises $150 Million For Bitcoin Funds

NYDIG's Fund I had invested entirely in Bitcoin (BTC), although it's not entirely clear if Fund II had also completely invested in Bitcoin or not. Meanwhile, two unnamed investors contributed to the $50 million funds.

NYDIG had received hundreds of millions from high-profile investors while attaining the title as one of the largest Bitcoin fund managers.

The latest news comes only months after NYDIG received another Bitcoin fund for $190 million. It also received an additional $140 million for the Bitcoin Yield Enhancement Fund. Although, it is not clear whether the two funds are related or separated from each other.

High profile investors and institutional players have started to take notice of Bitcoin by investing in large sums into Bitcoin funds. Individual players too such as mainstream celebrities and wall street investors have taken interest in the cryptocurrency, especially amidst the bitcoin rally.

NYDIG Spinoff From Stone Ridge Asset Management

NYDIG came out of $10 billion Stone Ridge Asset Management in 2017 intending to handle new institutional players to the crypto scene. It then went on to quickly hire BitLicense architect Benjamin Lawsky while securing $50 million in funding to build out the team.

In October, the asset manager had further received an additional $50 million in growth equity. The two funds strengthen NYDIG’s recent trend of registering its crypto offerings as Rule 506(c) investment vehicles. This signifies that NYDIG can advertise the funds to a wider audience now.

NYDIG offers crypto custody, investment, and prime brokerage services to hedge funds, pensions, banks, and other institutional clients.

Related News