Fund manager Fintonia has launched two new Bitcoin funds — Fintonia Bitcoin Physical Fund and Fintonia Secured Yield Fund — for institutional investors.
- The physical fund buys and holds actual Bitcoin, rather than investing in a Bitcoin-linked derivative product. The fund’s Bitcoin will be stored with a licensed and insured custodian, according to a report by Fund Selector Asia. A report by The Asset noted the fund allows investors to buy and sell Bitcoin efficiently at scale, stores the Bitcoin safely and enables them to bequeath it legally.
- The yield fund provides borrowers with loans against Bitcoin as collateral, allowing investors in the fund to earn attractive returns. Borrowers usually include Bitcoin miners, traders and companies that hold Bitcoin and need cash without diluting assets, the FSA report said.
- Founded in 2015, Singapore-based Fintonia offers a range of fund management, wealth management and merchant banking services to institutional clients and entrepreneurs.
Correction: Dec. 28, 2021
The story has been updated to reflect that while fund manager Fintonia is registered with the Monetary Authority of Singapore, the two funds do not require MAS approval.