dogwifhat

Stratos

Hedge

Shiba Inu

<div class="dailyhodl">
 Hedge funds are starting to succumb to the lure of crypto memecoins in search of bigger gains, according to a report from Bloomberg.
 Newport Beach, California-based fund Stratos – backed by heavyweight investors Marc Andreessen and Chris Dixon – reportedly recorded 137% gains in Q1 by allocating part of its portfolio to dogwifhat (WIF), which is now the biggest memecoin on Solana (SOL).
 <div class="code-block code-block-055f5289fd7e731bb72be7c5a19d18ed code-block-1">  
 </div>
 Says Stratos’ founding partner Rennick Pallet,
 “The unspoken truth is that if the fund isn’t doing it, the people working at the fund are doing it.”
 While meme<a rel="noopener noreferrer nofollow" title="coins" href="https://thebittimes.com/tag/coins.html">coins</a> essentially started as a joke – perhaps with the launch of Dogecoin (DOGE) in 2013 –the investor says that more hedge funds will inevitably start taking the <a rel="noopener noreferrer nofollow" title="sector" href="https://thebittimes.com/tag/sector.html">sector</a> more seriously as they become more comfortable with digital assets in general.
 “People will become more comfortable with the concept over time, not dissimilar to how people became comfortable with crypto overall… I wouldn’t be surprised with firms creating meme-only funds, just as they created NFT-only funds.”
 Cosmo Jiang, a portfolio manager at crypto hedge fund Pantera Capital, describes meme<a rel="noopener noreferrer nofollow" title="coins" href="https://thebittimes.com/tag/coins.html">coins</a> as “culture <a rel="noopener noreferrer nofollow" title="coins" href="https://thebittimes.com/tag/coins.html">coins</a>” that provide a sort of unofficial membership into a group or movement.
 “Meme <a rel="noopener noreferrer nofollow" title="coins" href="https://thebittimes.com/tag/coins.html">coins</a> initially started as clearly a joke. But over time they’ve evolved as much more than that. People have started to call some meme<a rel="noopener noreferrer nofollow" title="coins" href="https://thebittimes.com/tag/coins.html">coins</a> as culture <a rel="noopener noreferrer nofollow" title="coins" href="https://thebittimes.com/tag/coins.html">coins</a>, they are a membership into a culture or a group of people with a shared belief system.”
 Josh de Vos, research lead at researcher CCData, notes that liquidity and infrastructure in the memecoin sector is rapidly evolving, allowing firms from the traditional finance world who are more sensitive to low liquidity to get involved.
 “Since the last cycle, the infrastructure surrounding meme<a rel="noopener noreferrer nofollow" title="coins" href="https://thebittimes.com/tag/coins.html">coins</a> has become more robust, with significant improvements in liquidity for several tokens… Centralized exchanges have developed sophisticated futures markets for leading meme<a rel="noopener noreferrer nofollow" title="coins" href="https://thebittimes.com/tag/coins.html">coins</a>, enabling hedge funds to capitalize on their volatile movements and effectively hedge their exposure.”
 At time of writing, DOGE remains the largest memecoin with a $22 billion market cap, but faces competition from Shiba Inu (SHIB) at $15 billion and WIF at $3.2 billion.
 
</div>
Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/tradfi-hedge-funds-eyeing-memecoins-as-subsector-evolves-into-culture-coins-report-tbt86428.html">https://thebittimes.com/tradfi-hedge-funds-eyeing-memecoins-as-subsector-evolves-into-culture-coins-report-tbt86428.html</a>

TradFi Hedge Funds Eyeing Memecoins As Subsector Evolves Into ‘Culture Coins’: Report

TheBitTimes

Other articles published on Apr 24, 2024

Hong Kong To List Bitcoin and Ether ETFs in April

Rollbit and Owl Games Have a New, Strong, and Hungry Competitor: Scorpion Casino

Nigeria’s Central Bank to Freeze Bybit, KuCoin, OKX, Binance Accounts

Altcoins surge as Bitcoin halts, Sentiments turn to “Greed”

Fireblocks Introduces Tools to Safeguard DeFi for Institutions

Raffle Coin Surges in Presale as Core and Arweave See Downturn

Join our free newsletter for daily crypto updates!