Skybridge Bitcoin Fund’s assets under management have risen to $ 310 million. Expecting the cryptocurrency to become a digital replacement for gold, the company reportedly values bitcoin at $ 535,000. Skybridge also predicts that bitcoin’s price will hit $ 100,000 this year.
Skybridge is investing $ 310 million in Bitcoin
Skybridge Capital, headquartered in New York, is a global investment manager providing investment solutions to individuals and institutions. Skybridge announced on Monday the launch of its bitcoin fund to outside investors launch with $ 25.3 million of equity in December. The announcement details:
Skybridge started a position, worth approximately $ 310 million at the time of this release, in funds investing in bitcoin in November and December 2020.
Ray Nolte, Skybridge’s Chief Investment Officer, commented, “With global money printing at an all-time high, bitcoin offers a strong alternative to gold as a store of value and a hedge against future inflation.”
The Skybridge Bitcoin Fund charges a management fee of 75 basis points and no incentive fee. There is a minimum investment of $ 50,000, the company explained, adding that accredited private and institutional investors can subscribe directly to the fund on its website. Fidelity will act as a custodian for the company’s bitcoin and Ernst & Young will control the fund.
Bitcoin can be worth $ 535,000 each
Skybridge founder and managing partner Anthony Scaramucci said Monday, “We believe bitcoin is in its early stages as an exciting new asset class.” Scaramucci was previously President Donald Trump’s communications director, but his tenure in the White House lasted only 11 days.
“I see coins going to $ 100,000 by December 31 next year,” said Business Insider. “It doesn’t mean they won’t be fleeting, it doesn’t mean you won’t have a hitch.” He further opined:
If we are correct that this is a gold substitute or digital gold, it should be traded at at least half the value of gold with a market capitalization of $ 5 trillion. And it’s starting to get that rapid exponential rise in the hockey stick.
According to Skybridge, “gold currently has a market cap of $ 10 trillion, which would make a single bitcoin worth $ 535,000 if it were valued in the same way,” the publication said.
What do you think of Skybridge’s bitcoin investment and forecasts? Let us know in the comments below.
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