Anthony Scaramucci, Manager of SkyBridge Capital and the Trump administration’s former Communications Director, said that his hedge fund invested $25 million in Bitcoin (BTC).
Talking to CNBC on Tuesday, he revealed that the fund will start taking new investors from January 4, 2021, after the $25 million initial investment in Bitcoin.
“This will be a way for us to democratize Bitcoin like we did the hedge fund industry a decade ago,” he told the publication.
This investment came after SkyBridge Capital submitted a Form D with the US Securities and Exchange Commission (SEC) registering its new fund with cryptocurrency and blockchain technology exposure.
Though the filing said that there could be ‘direct or indirect exposure’ to digital assets, it set the minimum investment amount to $50,000, enabling only accredited investors to participate.
The hedge fund is going to use the services of Fidelity Digital Assets for custody and ‘back office’ needs.
SkyBridge invested in Bitcoin when there is a growing institutional demand for cryptocurrencies and corporations investing hundreds of millions of dollars into Bitcoin. Scaramucci even highlighted that MicroStrategy firm, which now owns around $1.6 billion in Bitcoin, has inspired him to take the digital asset route.
“It became clear that we needed to create a client-friendly product, something with a $50,000 minimum, that the mass affluent could access, or RIAs that were close to it can access,” Scaramucci stated.
Recently, Bitcoin price broke the $20,000 mark, setting another all-time high (ATH) record at above $24,000. However, Scaramucci believes it is only the start with the institutional interest in Bitcoin.
“For us, I don’t think it’s late. If anything, it’s the first inning. You’re about to see that wave of early adoption by the institutional community. I’d like to get our investors involved before that goes into full throttle,” he said.