Private American investment management firm, Soros Fund Management has reportedly entered the cryptocurrency trading ecosystem. According to a report by The Street, sources close to the matter told author, Michael Bodley, that Soros Fund Management’s Chief Investment Officer, Dawn Fitzpatrick permitted the trading of Bitcoin (BTC), in a move designed to boost the firm’s embrace of digital assets in general.
While pleading speaking on conditions of anonymity as the matter has not been made public yet, the sources noted that the firm has had its eye on betting on cryptocurrencies for a long time. The move into Bitcoin trading, whose scope is yet unknown has been cited as “more than just kicking the tires” on digital assets.
Bitcoin and the growing list of altcoins have continued to catch investor’s interests in the past few years as the digital ecosystem has continued to journey into its mainstream adoption curve. In the past year, we have seen a massive embrace of industry veterans including MicroStrategy incorporated, Square Inc, and electric automaker, Tesla Inc going long on Bitcoin. Additionally, we have seen the push for Bitcoin-based Exchange Traded Funds (ETFs) in the United States, a move that has gained traction in countries like Canada, Switzerland, and Germany.
The move by Soros Funds, owned by billionaire investor George Soros, comes as a testament to the shift in demand by mainstream investors across the board. Founded in 1970, the hedge fund, the second established by Soros, bet on emerging markets to grow its assets under management (AUM) to about $28 billion.
One in Many Options to Back Cryptocurrencies
The Bitcoin trading move by Soros Fund Management is one of the two major ways credited to be backed by Fitzpatrick. The Street sources noted that the firm is committing funds to finance the acquisition of blockchain-based firms. While the names of the firms are yet to be unveiled, Soros Funds Management ranked amongst those who funded New York Digital Investment Group (NYDIG) to the tune of $200 million.
While newly making the news headlines, other major money players, including top American banks are already exploring ways to offer crypto-related services to their customers.