INTERNATIONAL – Cryptocurrency hedge funds refuse to give up on the bruised market as firms continue to open and some of the more established ones expand.
BlockTower Capital, co-founded a year ago by former Goldman Sachs investment manager Matthew Goetz, expanded its staff this year and opened a second office amid the rout in digital assets, according to a person familiar with the firm.
The hedge fund, with headquarters in Stamford, Connecticut, last month opened a second office in New York and now employs 13 people, up from around eight at the start of 2018, the person said.
The firm’s expansion signals this year’s market collapse hasn’t been enough to wipe out the bevy of cryptocurrency hedge funds that have popped up since the 2017 boom.
The funds are down 52 percent this year, compared with Bitcoin’s 54 percent slump, according to the Eurekahedge Crypto-Currency Hedge Fund Index.