Syz Capital, the alternatives investment arm of the family owned Syz Group, has launched a Bitcoin denominated hedge fund.
The company, which specialises in alternative investments, including private equity, legal assets and hedge funds, has announced the Syz Capital BTC Alpha Fund would aim to deliver low volatility returns that are uncorrelated to traditional markets.
The launch follows the successful launch of the group’s SyzCrest fund of crypto hedge funds in 2023. Syz has chosen Coinbase to be its prime broker and custodian.
Richard Byworth, managing partner at Syz Capital, said: “This strategy caters to bitcoin holders and corporates, leveraging SyzCrest’s 20-month track record of 20% annualised gross returns with just 6% volatility.
“Coinbase, the top digital asset custodian for the Wall Street ETFs, impressed us with their security protocols and flexibility to create governance structures, making them the clear choice.”
The fund will aim to harness market volatility, inefficiencies and fragmented liquidity to product returns. The fund launches with around $180m in assets, which the company claims sets “a new milestone” in Bitcoin denominated funds of funds.
Lauren Abendschein, vice president at Coinbase Institutional, said the company is proud to support Syz Capital in launching the fund.
She said: “Institutional investors are increasingly looking for secure, compliant, and innovative ways to gain exposure to digital assets, and the Syz Capital BTC Alpha Fund is a prime example of how the ecosystem is evolving.
“We’re excited to provide the robust infrastructure and security that enables forward-thinking funds like this to thrive.”
