Nickel Digital Rotates Flagship Arbitrage-Strategy Fund Largely Out of Crypto Into Cash: Report

Hedge fund Nickel Digital Asset Management put its flagship arbitrage-strategy fund largely into cash during the crypto market downturn, Bloomberg reported.

The Digital Asset Arbitrage Fund, which launched in 2019, focuses on crypto assets. It has seen positive monthly returns since its inception and has gained about 13% this year, Bloomberg said.
The May sell-off in crypto saw a number of leveraged positions, especially those of retail investors, with losses.
Anatoly Crachilov, co-founder of the hedge fund, said he expects the doldrums will end soon because institutional investors are increasingly interested in the assets.
“The sideways market conditions throughout the month led us to exercise financial discipline and keep powder dry until risk/reward of re-emerging market opportunities warrant efficient deployment of capital,” Crachilov said.

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