IDEG Investment Ltd recently announced the launching of two trusts that are constructed as an easy way to invest old money into digital resources. IDEG originally is an experienced digital asset management company operating across Asia.
The news came out on November 27th in Hong Kong. The two trusts are Asia Bitcoin Trust I & Atlas Mining Trust I, where Asia Bitcoin Trust I is a vehicle that provides a number of solutions including, accreditation and compliance with institutional investors, security, and professional bitcoin exposure support backed by prominent service providers.
And Atlas Mining Trust I is a vehicle that enables traditional investors to take part and attain profits through mining activities of Bitcoin. The cumulative amount of two trusts is valued at 200 million dollars.
The two trusts are very different from the trusts that are passively managed, such as Grayscale Bitcoin Trust. Rather, Asia Bitcoin Trust I is an improved version of Bitcoin trust that strives to enhance returns through active management.
Coinbase Custody will be the acting custodian of both of these trusts. Coinbase custody is one of the world’s greatest custodian holders of digital assets with 900,000 plus Bitcoins. Whereas, Profound Trust Company Ltd. will act as trustee. It has more than 10,000 clients in Asia alone.
Bitcoin is a unique asset class that has no correlation with any traditional asset. Investing in Bitcoin can optimize the risk-to-reward ratio of portfolios,
said Raymond Yuan, Founder of IDEG.
According to Raymond, it is the time that institutional investors started including digital assets in their strategies of asset allocation. He said they would strive to act as a bridge connecting traditional investors with digital assets. They will ensure top-notch transparent and secure services.
The mining business is quickly evolving, with more and more institutionalized miners stepping in. The keys to mining efficiencies in hardware, infrastructure and electricity costs. Individual miners are dropping out because institutional miners like us can improve in almost every aspect, including capex, opex, operation, and risk management. That’s why we have a much higher return ratio than other miners,
We’ve been in the quantitative trading business for a long time. Some of our core members have been trading digital assets since 2013. As the investment manager of the Trust, IDEG will apply a range of hedging and arbitrage strategies in order to gain more Bitcoin for the investors and meanwhile effectively control the risk of drawdowns,
said Kevin Yang, CEO of IDEG.
Till now, Bitcoins over 18 million are mined and just 21 million will exist. Bitcoin mining offers market players $4-$8 billion yearly revenues on its own.
The profound trust CEO, Lu Qi, said that these days, there had been a rise in institutions that seek sophisticated investors and orientation towards blockchain as well as digital resource markets. They look for demand compliance, professionalism and security.
We seek the highest standards in these aspects. The two trusts are designed to offer such investment vehicles for investors,
said Lu Qi, CEO of Profound Trust.