Other industry highlights:

• Award-Winning Digital Asset Hedge Fund Reaches $200M Milestone

• California-Based Long-Biased Manager to Unveil Advisory Board to Start 2026

• SMA Verification Platform Launches Alongside Dedicated Fund of Funds

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^{🗞 Allocator Developments 🗞}

Hong Kong Based Investment Firm Launches $100M Fund of Funds — B7 Capital announced on January 1 the close of its inaugural $100M fund, marking the launch of its cryptocurrency-focused fund of funds platform. The Hong Kong-based firm will allocate across market-neutral arbitrage, CTA, and options strategies, with a core focus on capital preservation.

BVI Based Fund of Funds Ramps up BTC & USD Allocations —319 Capital is expanding allocations in 2026 to both BTC and USD denominated strategies following the successful close of its first year in operation. The regulated fund-of-funds, seeded with proprietary and third-party capital, now invests in 14 strategies across 9 hedge funds, with a continued emphasis on market-neutral, systematic approaches.

Malta Multi-Manager Fund Rebounds After October Dip — Monterra’s M‑Squared Fund gained 1.6% in November, recovering from a 3.5% drop in October—its worst month since opening to external capital. The fund has exited strategies dependent on illiquid altcoin markets and continues to focus on market-neutral and quant-directional approaches, maintaining positive YTD performance despite broader crypto market losses.

Ex-Syz Capital PM Joins $575M Swiss Allocator — Partners Advisers SA has appointed Mathieu Woifflard as Investment Manager & Senior Research Analyst to deepen its focus on hedge funds and private equity. Woifflard was previously Vice President and Deputy Portfolio Manager at Syz Capital, where he worked on alternative strategies including digital asset fund-of-funds. Partners Advisers manages approximately $575M in AUM across long-only, hedge fund, and private equity allocations.

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🔥 What’s Hot in Crypto 🔥

Award-Winning Digital Asset Hedge Fund Reaches $200M Milestone

Amsterdam-based hedge fund M1 Capital has been awarded the title of Best Digital Asset Hedge Fund at the HFM European Performance Awards 2025, presented by With Intelligence and S&P Global. The recognition marks a major milestone for the three-year-old firm, which has rapidly become one of the largest in Europe.

Founded with a focus on market-neutral strategies, M1 Capital has grown at an extraordinary pace. In August, the fund surpassed $100M in assets under management, doubling to approximately $200M within months.

While early momentum came from Dutch private investors, the fund is now seeing accelerating interest from institutional clients across Europe and beyond. “Over the past year we have seen a clear shift,” said co-founder David van Goudoever. “Professional investors want exposure to crypto but were long hesitant. Our market-neutral funds finally offer them a safe and controlled way to generate returns — without extreme volatility.”

Looking ahead, M1 Capital is targeting €500M in AUM by the summer of 2026. The firm is actively pursuing licensing processes globally to support this goal and is evaluating expansion opportunities outside the region. Following the launch of the M1-B1 bitcoin-denominated fund, and with several new products in development, the team is entering the next phase of growth.

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California-Based Long-Biased Manager to Unveil Advisory Board to Start 2026

Blue Coin Capital, a California-based investment firm focused on digital assets, plans to unveil a three-member advisory board at the end of January. The announcement comes as the firm deepens its institutional positioning and continues to scale its flagship fund, which aims to offer professional investors a liquid, research-driven entry point into the evolving world of blockchain assets.

Blue Coin serves as the investment manager for Blue Coin Fund, a Delaware-based private partnership focused on liquid tokens. The fund pursues an actively managed, long-biased strategy grounded in fundamental analysis. Unlike many crypto hedge funds that lean on trading momentum or market-neutral arbitrage, Blue Coin targets high-conviction investments in large- and mid-cap tokens—including BTC, ETH, XRP, SOL, LINK, and SYRUP—with a clear emphasis on long-term value. The strategy seeks to outperform the broader crypto market by identifying blockchain networks and protocols with strong fundamentals, real-world use cases, and meaningful upside potential.

Rather than chasing short-term price action, the team focuses on building a concentrated portfolio around projects that demonstrate durable technology, healthy tokenomics, and credible development roadmaps. The fund benchmarks its allocations to a leading crypto index, using active overweights and underweights to express market views and capture relative value. Tactical asset allocation is paired with disciplined portfolio construction to manage risk and optimize returns. While primarily long-only, the fund also generates incremental yield through strategic positioning and optimization of token holdings.

Founder and Chief Investment Officer Mike Treidl brings over 15 years of experience managing multi-asset portfolios at firms including Morgan Stanley, Capital Group, and Payden & Rygel. He previously served on the Board of Governors of CFA Society Los Angeles.

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SMA Verification Platform Launches Alongside Dedicated Fund of Funds

Maxim Shilo, Founding Partner of BB (ex-Alpha Profit), has launched Quants.Space - a new institutional gateway purpose-built to verify, standardize, and distribute quantitative crypto trading strategies. Designed to streamline access to the fragmented and often opaque world of crypto quant managers, the platform acts as a verification and distribution layer for trading teams operating in separately managed account (SMA) structures.

Quants Space brings allocator-grade infrastructure to the crypto quant sector. The BVI-based platform is built around a custody-first model, allowing allocators to retain control of their capital while constructing diversified portfolios with real-time analytics, standardized reporting, and verified strategy performance. More than 100 qualified trading teams have already been onboarded, with strategies ranging from delta neutral to directional CTA-style approaches.

For allocators, Quants Space enables screening and comparison of strategies across risk, return, drawdowns, and correlation metrics. Tools for portfolio overlap analysis, real-time monitoring, and SMA-style allocation structures address persistent frictions in crypto strategy evaluation. For managers, the platform offers fast-track visibility and verification via read-only exchange key access, along with automated tearsheet generation and exposure to active institutional allocators.

The launch coincides with BBs announcement of a new SMA fund of funds called QSDAF, which will allocate capital exclusively to managers on the Quants Space platform. While the vehicle will begin deploying internal capital in its initial phase, further details about size and structure have yet to be disclosed.

BB delivered standout net returns of 82% in 2023 and 60% in 2024, powered by its proprietary machine learning-driven strategies.

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🍿 Blockchain Bytes 🍿

• Alphaparty Capital, a Cayman Islands-based digital asset fund regulated by CIMA, officially launched on November 3. Managed by FCA-regulated Silk Invest, the fund deploys medium-frequency behavioral trading and high-frequency market-making strategies, with four share classes across BTC, USDT, USD, and CHF (Alphaparty)

• Rushi Manche has returned to crypto with Nyx Group, a $100M investment firm backing trusted token-launching founders with capital and hands-on support. The launch follows Manche’s exit from Movement Labs after a 2025 governance scandal tied to the MOVE token (MEXC)

• Further x 3iQ Alpha Digital Fund, a new $100M multi-strategy vehicle, has launched to offer institutional-grade exposure to digital assets, including a BTC share class anchored by an Abu Dhabi-based family office (3iQ)

• Blockstream Capital Partners plans to acquire Corbiere Capital Management to expand into equity and event-driven strategies alongside its bitcoin-linked products. Corbiere founder Rodrigo Rodriguez will become CIO of the newly formed Blockstream Capital Management, as BCP builds a multi-strategy platform for institutional investors (Coindesk)

• Hyperithim, an Asia-based crypto hedge fund with 24% annualized gross returns since March 2020, is launching a Cayman Islands-domiciled fund to onboard U.S. investors. The firm currently manages $300M in a market-neutral strategy and expects to raise an additional $150M for the new vehicle (Hedge Fund Alert)

• Moon Pursuit Capital is launching its second fund, a $100M market-neutral vehicle designed to deliver consistent, risk-adjusted returns through algorithmic trading. The new strategy builds on the firm’s first fund, which is up nearly 170% since April 2024, and includes overlays in bitcoin accumulation and altcoin momentum trades (Coindesk)

• Charlie Noyes has stepped down as General Partner at Paradigm after eight years at the firm (X); Decentralised Digital Asset Fund, one of the first hybrid funds trading digital assets and traditional securities, welcomed Robert Flohr as a strategic investor and advisory board member (DDAF); Cyber Fund, which manages a liquid portfolio, a strategic portfolio, and a $100M venture arm, appointed Rico Müller as director (Cyber Fund); and Will Forsyth joined Finality Capital Partners after departing Black Lotus Capital (Will Forsyth).

• Hilbert Group has acquired high-frequency trading platform Enigma Nordic for $32M to expand its systematic crypto trading capabilities. Enigma, which reported $5.4B in 2025 trading volume and a Sharpe ratio above 3.0, must generate $40M in net income to unlock the full earn-out (Yahoo Finance)

• HashKey Capital closed the first round of its fourth fund, HashKey Fintech Multi-Strategy Fund IV, with $250M in commitments, targeting a $500M final close. The fund will pursue a multi-strategy approach across liquid and private markets (HashKey)

• Clearstar, an on-chain risk curator backed by a Swiss asset manager with approximately $1B in AUM, has partnered with Flare Network and Upshift to launch earnXRP—the first fully on-chain, actively managed yield product denominated in XRP (Flare Network)

• ZX Squared Capital reported 40% gross annualized returns and 328.5% gross return since inception, outperforming bitcoin by over 100 percentage points. The fund employs a large-cap digital asset portfolio with an options overlay, and recently hired Brooks Hamblett to lead institutional capital-raising (ZX Squared Capital)

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