A couple of Virginia public pension funds are looking to invest directly in an investment fund that buys cryptocurrencies and other derivatives.
<h2><strong>Virginia Public Pension Funds Wants Direct Exposure to Cryptocurrencies</strong></h2>
The Fairfax County Police Officers Retirement System (PORS) and Fairfax County Employees’ Retirement System (ERS) are planning to invest $50 million in Parataxis Capital Management LLC’s main fund, according to a Bloomberg <a href="https://www.bnnbloomberg.ca/virginia-public-pensions-make-a-direct-bet-on-cryptocurrencies-1.1650537" target="_blank" rel="nofollow noopener">report</a>.

Both the funds together manage a total of about $7.15 billion in net assets under management (AUM) with several investments in Morgan Creek Asset Management funds including crypto venture firm Blockchain Capital.

In 2018, ERS invested about $10 million into Morgan Creek Blockchain Opportunities Fund with PORS at $11 million. A year later, both the funds invested another round for $52 million in total.

Morgan Creek Blockchain Opportunities Fund invests most of the funds into the underlying technology behind cryptocurrencies but only 15% goes directly into crypto investments. With the latest bet on Parataxis, the public pension funds intend to get direct exposure to cryptocurrencies.

Katherine Molnar, Chief Investment Officer for PORS said in an interview:
<blockquote><em>“We think that there’s going to continue to be volatility in crypto, and this is going to be good for value traders. It’s an area that’s going to grow in adoption and interest. We think that it’s inefficient enough, so we think there are some alpha opportunities to take advantage of.”</em></blockquote>
<h2><strong>Parataxis's Foray Into Pension Funds</strong></h2>
In 2019, Edward Chin, an ex-investment banker at <a href="https://www.cryptoknowmics.com/news/institutions-are-purchasing-bitcoin-politicians-need-more-crypto-education-novogratz/">Michael Novogratz’s</a> Galaxy Digital Holdings, and by Thejas Nalval, a former portfolio manager with digital-asset hedge fund LedgerPrime and the head of asset management at the Element Group founded Parataxis Capital Management.

Parataxis has about $55 million in assets under management with two of its funds investing mainly in digital assets from Bitcoin to derivatives to <a href="https://www.cryptoknowmics.com/news/following-the-clarification-of-rules-afterpay-is-definitely-keen-on-exploring-crypto-services/">DeFi coins</a>. It is also planning to launch another fund.

On foraying into pension funds for the first time, Edward Chin said:
<blockquote><em>“This is our first pension fund. We are in conversations with a couple more, and a couple of endowments as well. It’s clear that people are trying to get exposure.”</em></blockquote>

Virginia Public Pension Funds Forays into Cryptocurrencies

A couple of Virginia public pension funds are looking to invest directly in an investment fund that buys cryptocurrencies and other derivatives.

Jafrin is a cryptocurrency journalist/researcher fascinated by the world of decentralization. She is hopeful towards blockchain’s innovation and its potential to reshape the world for good. Currently, she is bringing out the best of cryptosphere via covering the latest ins and outs of the blockchain space.

Virginia Public Pension Funds Forays into Cryptocurrencies

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