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In the latest crypto news, we are focusing on hedge funds and their rise over the past year. Throughout 2018, we can see that the crypto market has lost more than 75% of its valuation – however the situation is not the same with crypto hedge funds, which are apparently raising hundreds of millions of dollars from different investors and institutions.

One of the popular hedge funds in the crypto industry is Grayscale Investments, a subsidiary company of the famous venture capital firm Digital Currency Group – and a hedge fund that has raised more than $330 million from its existing and new investors.

After the 1,200% increase, the managing director of the company Grayscale Investments, Michael Sonnenshein, said that the 69% drop in the price of Bitcoin had minimal impact on the company and how it manages to build its client base. As he stated:

“Bitcoin prices doing nothing but go down the entire year has not deterred our existing clients from putting more capital to work. Asset inflows are really strong despite these price declines. Investors are taking the pullback as an opportunity to increase their exposure. The price has not slowed down the pace of investments — it’s actually caused us to broaden our relationships.”

Grayscale currently has a strong reputation as a digital asset management company and an investment firm. However, there are other big players in the industry too – such as Pantera Capital and the former Point72 portfolio manager Travis Kling and its Ikigai Asset Management, both holding investments that are over $100 million.