Skybridge Bitcoin Fund Debuts With $310 Million — Investment Manager Expects Each BTC Worth $535KJanuary 5, 2021
Skybridge Bitcoin Fund’s assets under management have risen to $310 million. Expecting the cryptocurrency to become a digital replacement for gold, the firm reportedly values bitcoin at $535,000. Skybridge also predicts that bitcoin’s price will reach $100,000 this year.
Skybridge Invests $310 Million in Bitcoin
New York-headquartered Skybridge Capital is a global investment manager that provides investment solutions to individuals and institutions. Skybridge announced the launch of its bitcoin fund to outside investors on Monday after launching with $25.3 million of its own funds in December. The announcement details:
Skybridge initiated a position, valued at approximately $310 million at the time of this release, in funds investing in bitcoin during November and December 2020.
Skybridge Chief Investment Officer Ray Nolte commented: “With global money printing at an all-time high, bitcoin offers a strong alternative to gold as a store of value and hedge against future inflation.”
The Skybridge Bitcoin Fund charges a 75-basis point management fee and no incentive fee. There is a minimum investment of $50,000, the company detailed, adding that accredited retail and institutional investors can subscribe directly to the fund on its website. Fidelity serves as custodian for the firm’s bitcoin and Ernst & Young will audit the fund.
Bitcoin Could Be Worth $535,000 Each
Skybridge founder and managing partner Anthony Scaramucci said Monday, “We believe bitcoin is in its early innings as an exciting new asset class.” Scaramucci previously served as President Donald Trump’s communications director but his White House tenure only lasted 11 days.
“I see the coins going to $100,000 by December 31 next year,” he was quoted by Business Insider as saying. “It’s not to say that they won’t be volatile, it’s not to say that you’re not going to have some choppiness.” He further opined:
If we’re right that this is a gold replacement or digital gold, it should trade to at least less-than-half as valuable as gold at a $5 trillion market capitalization. And it’s starting to have that meteoric exponential hockey stick lift.
According to Skybridge, “Gold currently has a $10 trillion market cap, which would make a single bitcoin worth $535,000 if it were to be valued the same way,” the publication conveyed.
Source: Read Full Article