Investment Goals and Strategy

Investment Goals

Perform in line with the cryptocurrency market, while reducing volatility.

Strategy

  • Invest in bitcoin and other cryptocurrencies, employing futures to hedge positions.
  • Generate two uncorrelated return streams:
    • Use Artificial Intelligence to exploit arbitrage opportunities caused by inefficiencies in cryptocurrency as an emerging traded asset.
    • Earn fee-based revenues as a bitcoin market maker (liquidity provider). Strategy In Detail

Strategy in Detail

80%-100% - Cryptocurrencies

(Bitcoin - 40%-100% )

(Other cryptocurrencies - 0%-50%)

  • Actively manage the portfolio, initially over-weighted in bitcoin, leveraging Artificial Intelligence, Machine Learning, and other proprietary tools.
  • Utilize bitcoin futures contracts traded on the CME (the world’s largest futures exchange) to hedge and liquidate various cryptocurrency positions.

0-20% - Arbitrage

  • Exploit daily pricing discrepancies across cryptocurrency exchanges and between various cryptocurrencies, which historically have fluctuated between 25 and 50 BPS.
  • Use proprietary algorithms (e.g., timely Artificial Intelligent Inferencing, Deep Learning, and clustered systems) to monitor and trade across global cryptocurrency exchanges.
  • Augment data analytic intelligence and AI by leveraging four years of banking and cryptocurrency exchange relationships.

0-20% - Market Maker (fee-based revenues)

  • Opportunistically use core bitcoin holding to provide liquidity in exchange for 10-50 BPS per day in fees.
  • Provide liquidity by leveraging growing personal network of thousands of cryptocurrency investors.