SEC filing reveals the establishment of a massive Bitcoin fund, New York Digital Investment Group has raised approximately $140 million in May.

New York Digital Investment Group (NYDIG) disclosed a $140 million Bitcoin fund in a Form D filing with the U.S. Securities and Exchange Commission. The fund, officially named "NYDIG Bitcoin Yield Enhancement Fund LP," has not yet revealed specific product details and investment methods.

NYDIG Bitcoin Yield Enhancement Fund

New York Digital Investment Group (NYDIG) is an institutional-grade investment firm that offers comprehensive licensed services for cryptocurrency investment management, custody, and trading. The company obtained a BitLicense from the New York Department of Financial Services in 2018, allowing it to provide cryptocurrency custody and trading services within the jurisdiction of New York State.

According to a report by Forbes, the company has filed a new Form D with the U.S. Securities and Exchange Commission (SEC), disclosing a new Bitcoin fund product.

The SEC filing reveals that the fund is officially named "NYDIG Bitcoin Yield Enhancement Fund LP" and commenced funding on May 5th with a total funding amount of nearly $140 million. Furthermore, the fund is defined as an "integrated investment fund," indicating multiple investors participating in the funding, requiring the investment group to apply for an exemption under the Reg D Rule 506 safe harbor provision established in 2013. Details regarding the investors and specifics of the fund are not yet publicly disclosed, and further updates on the fund will be monitored.

Expansion of New Fund Scale

Notably, this is not NYDIG's first issuance of Bitcoin financial products. Last year, NYDIG obtained SEC approval to launch the "NYDIG Bitcoin Strategy Fund," which focuses on Bitcoin cash-settled futures contracts as the investment target.

The fund is a closed-end fund concentrating on Bitcoin futures, with a suggested maximum offering price of $10 per share. The initial capital of this fund was less than one-fifth of the new fund, approximately $25 million. The fund primarily seeks capital appreciation through investing in Bitcoin futures contracts. NYDIG stated that the product only invests in cash-settled Bitcoin futures traded on exchanges registered with the U.S. Commodity Futures Trading Commission.

Institutional Interest in Bitcoin Renewed

NYDIG's launch of Bitcoin investment products this year indicates an increased confidence in digital assets among the company and institutional investors. It is noteworthy that the traditional financial markets' attitude towards cryptocurrencies and digital assets seems to be gradually shifting. Today's report mentions that JPMorgan Chase has approved business service applications for cryptocurrency exchanges Coinbase and Gemini, providing services such as fiat currency deposits and withdrawals for these exchanges.

Additionally, the U.S. private venture capital firm Andreessen Horowitz (a16z) recently completed fundraising for its venture capital fund. The second crypto fund named "Crypto Fund II" raised a total of $515 million, exceeding the initial target of $450 million. This fund is specifically dedicated to investing in cryptocurrencies and blockchain projects. Compared to the first crypto fund launched in 2018, the fund's size has grown by over 1.7 times.

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