Gemini to Serve as Custodian for Filecoin Fund of Australian Equities Manager

The fund seeks to raise A$25 million ($18.4 million) over a three-month period, promising clients a 100% FIL return over five years.

By Sebastian Sinclair

Aug 4, 2021 at 9:26 a.m. UTC

Updated Sep 14, 2021 at 1:35 p.m. UTC

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As part of its expansion into Southeast Asia, U.S. cryptocurrency exchange Gemini is teaming up with an Australian equities manager to serve as the custodian of a fund that's based on the filecoin (FIL) cryptocurrency.

Sydney-based Holon Global Investments says it's a "global equities manager focused on innovation and investor aligned wealth management."
Holon's Wholesale Filecoin Fund will be managed by the exchange's regulated custody service, according to a press release on Tuesday.
The fund seeks to raise A$25 million ($18.4 million) over a three-month period, promising clients a 100% FIL return over five years with a 0% management fee.
FIL is the native token of the decentralized data-sharing Filecoin network.
"The fund was designed to give investors an opportunity to invest in a unique asset," Eugene Ng, Gemini's head of business development for Asia Pacific, told CoinDesk. "This allows investors to diversify their portfolios and also receive an attractive rate of return."
In order to generate returns, the companies say the fund will purchase FIL and lend the token to a Holon subsidiary.
"For every Filecoin Holon Innovations borrows from the fund, it will pay the fund two filecoins at maturity. This structure gives investors a return on their investment in the form of additional filecoin," Ng said.
Gemini said the partnership is part of its push into Southeast Asia that began in earnest at the start of last month.

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