How hedge funds are making gains on their crypto investments
For the next piece in my series of posts breaking down the recent PWC Crypto Hedge Fund Report (May 2021). You can check out the first post in this series on “The Crypto hedge funds are investing in across 2021”.
We’re going to explore how these crypto hedge funds are using cryptocurrencies outside of traditional investing.
For these funds, just like us, they have the options of staking, lending and borrowing.
Ok, we can see that staking crypto is the clear winner for funds here.
Across all 3 channels, there’s been very similar movements across 2019 and 2020. I would expect that the De-Fi explosion across 2021 will give this data a different look at the end of the year.
Yet, it’s interesting to see that these funds are taking an active interest and participation in all of the earning channels that every day investors do too.
No doubt the sweet APY % they see have had them and their clients licking their lips
The takeaway
The bigger market players are not only broadening their investment in different coins but actively taking part in the variety of ways to grow their crypto too.
This might be a positive sign in the long term potential of these types of earning opportunities as we look ahead over the next 5yrs.
How are you growing your crypto right now? 💰
🌱 Staking
✋ Lending
💳 Borrowing
💪 All of the above
Let me know in the comments below ⬇️
Important
I’m not an financial advisor, this is not financial advice and I’m not qualified or licensed to provide anything like this. This content is a bunch of thoughts from a fellow human for educational purposes only — that is all.