Only a deaf person has not heard about the bitcoins during the last few weeks. It took the cryptocurrency nearly 9 months to climb from $300 to $1000 per coin, and then, just over the course of a few months it went up to its recording heights of nearly $3000 per bitcoin. While many people are trying to buy various video cards are set up their mining farms, there are actually companies that are transferring regular financial services under the bitcoin cover. Today we are happy to announce that a Swiss company is about to launch the World’s first mutual fund dedicated only to the bitcoin and other altcoins.
As seen on http://bitcoincasino.info/, Crypto Fund AG headed by Jan Brzezek is looking into launching the fund by the end of the year. The idea is to gather 100 million EUR in the assets under management within the first year of operations, and within 3 years to grow quite substantially. Jan Brezek projects a total value of the assets under management at 3 billion EUR after 3 years in business. Does this look too optimistic to you? So far Crypto Fund AG has secured 10 million EUR in investments and other 10 million are in the transfer right at this moment. Next to this, the company has already applied for the financial authorisation from the local regulator – FINMA.
One of the major drawbacks of any cryptocurrency is its volatility. While the people that bought bitcoins at $50 are certainly happy to see the current price growing, people that got their bitcoins a few years ago at $1000 certainly had many sleepless nights. With a mutual fund dedicated solely to cryptocurrencies, it is planned to balance out the volatility of a single coin.
Even though this is not the first attempt of founding a cryptocurrency fund, it is certainly the first one in Switzerland. It does seem like this attempt will be successful as the country sees the bitcoin as a certain asset class and it is also home to many companies that are dealing with the bitcoins. The previous attempts to launch an exchange traded fund happened in the US, and, unfortunately, were unsuccessful.