Crypto Hedge Funds Are 2x More Profitable Than Their Mainstream Counterparts YTD

Share Article
In Brief
  • Crypto hedge funds are performing a lot better than their mainstream counterparts.

  • They are mirroring the broader cryptocurrency market by recovering from the Black Thursday flash crash.

  • Pantera Capital's Digital Asset Fund lost 33.6% in March but has since recovered nearly all.

  • promo

    Want to learn how to trade? Get a beginners guide from _BeInCrypto Academy_ now!

The Trust Project is an international consortium of news organizations building standards of transparency.

Despite swinging volatility in the market, cryptocurrency hedge funds have performed better than their mainstream counterparts in 2020.



According to the Financial Times, 19.5% in returns for crypto hedge funds in April have seen them outperform the broader hedge fund market by 100% so far in 2020. Crypto hedge funds are up 13.4% year-to-date, with mainstream funds only returning 6.7% within the same period.

In April, BeInCrypto reported that mainstream hedge funds were showing a mixed bag of results since the coronavirus-induced market panic.



The superior performance of cryptocurrency hedge funds comes despite the events of Black Thursday when the cryptocurrency market shed about 50% of its value. Pantera Capital’s Digital Asset Fund lost 33.6% in March but has since made up for the shortfall and is now up more than 32% YTD. Pantera Capital CEO Dan Morehead told the FT that the recent Bitcoin selloff was unexpected, saying:

Some futures exchanges offer almost insane amounts of leverage. Bitcoin is such high-octane stuff that putting on any leverage is unnecessary.

All the information contained on our website is published in good faith and for general information purposes only. Any action the reader takes upon the information found on our website is strictly at their own risk.
Share Article

Related topics

Osato is a reporter at BeInCrypto and Bitcoin believer based in Lagos, Nigeria. When not immersed in the daily happenings in the crypto scene, he can be found watching historical documentaries or trying to beat his Scrabble high score.

Follow Author

Daily signals, Bitcoin analytics and traders chat. Join our Telegram today!

Let’s Go

A step-by-step guide how to trade Bitcoin profitably

Learn now