Hedge Funds Try a Quant Approach to Tackling Cryptocurrencies

  • Portfolio to hold mostly digital tokens from secondary market
  • Of more than 100 crypto funds, only a few use quant strategies

Bitcoin: What’s Coming in the Year Ahead

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A daring few hedge funds are attempting to apply rules and models to the wildest market out there -- cryptocurrencies.

There are now more than 100 cryptocurrency hedge funds that have launched in the past two years, but only a handful use quantitative analysis techniques, which rely on numbers crunching to identify opportunities and improve returns. The proliferation of portfolios and trading strategies reflects growing investor interest.