The current cryptocurrency market slump has not hindered Silver Castle Ltd, an Israeli crypto-focused firm, from launching two new products for institutional investors.
The products are in the form of crypto funds which the firm anticipates will reach 50 million U.S dollars before the year ends. Silver’s fund comes to add to the already existing virtual currency funds which have approximately 10 billion U.S dollars under their management.
According to Bloomberg:
“Silver Castle’s first fund is both long and short-term momentum driven, based on an algorithmic trading system that picks the five biggest coins by market capitalization. It has been used in-house for over a year and the portfolio has achieved ‘high double-digit’ returns in dollar terms despite Bitcoin’s plunge this year. The second fund is fully invested, automated and offers a basket of top 10 coins, weighted according to an algorithm.”
The firm intends to launch a third fund that will focus on initial coin offerings before the year ends.
Eli Mizroch, CEO, Silver Castle, noted that they have “spent close to a year building a robust infrastructure for managing other people’s money at the level of institutional grade with very, very high security.”
Silver’s list of executives includes the former CEO of Bank Hapoalim, Zvi Ziz and Gabriella Ravid, the former CEO of Psagot Ofek Investment House. Psagot and Hapoalim are Israeli’s largest investment fund and the largest bank by assets respectively.
Ziz believes that blockchain has so much potential that everyone is seeking to build on it. More specifically, the former Bank Hapoalim CEO noted that the financial sector will be the biggest gainer.
Gadi Isaev, one of the founders of the Israeli Blockchain Association, noted that the team at Silver Castle is comprised of both leaders and pioneers in the country’s financial circles.
Do you think the number of crypto products for institutional investors will continue to increase to cater for the gradual increase in institutional crypto investors?
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