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US Firm Launches Hedge Fund With Holdings in Coinbase, Bakkt

The NYCQ Fund is a tokenized venture fund with holdings in Coinbase, Bakkt, Nomics, and Tagomi.

Updated Sep 13, 2021, 11:15 a.m. Published Jul 29, 2019, 9:00 p.m.
Credit: Shutterstock
Credit: Shutterstock

The investment firm US Capital Global announced it will add a tokenized venture fund with holdings in Coinbase, Bakkt, Nomics, and Tagomi in its portfolio.

Accredited investors will be able to place a $10 million equity stakes in the NYCQ Fund, designed by the venture capital firm CityBlock Capital, to increase their crypto leverage, according to a statement.

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The fund does not hold investments in cryptocurrencies, but stakes equity investments in the crypto startups. It is overseen and developed by former SoftBank Capital, Goldman Sachs, Wells Fargo, and Google employees.

The investment vehicle is only offered by US Capital’s subsidiary US Capital Global Securities.

“Combining low minimum investment amounts and early liquidity opportunities, the Fund gives accredited investors access to blockchain infrastructure investments normally available to institutional investors,” said Charles Towle, US Capital Global Securities CEO.

US Capital Global did not respond to a request for comment.

Towle also said that investment opportunities in the fund are still open. The move is interesting in that it takes an equity position in typically cryptocurrency-based startups - a decision that at once reduces risk but could reduce upside for the investor.

Investments photo via Shutterstock

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