Cryptocurrency investment platform Aspen Digital raised $8.8 million in pre-Series A funding led by Jacob Rothschild-founded RIT Capital Partners.
Liberty City Ventures also co-led the funding, while other investors included Cherubic Ventures, Token Bay Capital, Somerley Capital, and Chatchaval Jiaravanon & Chaval Jiaravanon. Aspen Digital is also being co-incubated by Everest Ventures Group and TT Bond Partners, a group of blockchain experts.
According to Aspen Digital co-founder and CEO Yang He, the investment will fund the launch of the platform and establish new offices across the globe. Headquartered in Hong Kong, the company will expand to London later this year. The company also plans to establish a Singapore office, in order to target the Southeast Asia market.
Aspen Digital intends to provide wealthy clients with a single point of access from which to diversify their cryptocurrency portfolio. The crypto investment portal will also take care of compliance procedures and bear the counterparty risk. To this end, Aspen is targeting family offices and asset managers in Europe, Asia and the Middle East. It expects to go live later this year.
Aspen will focus on three areas of service. First, it will allow investors to buy and hold cryptocurrency. Next, it will invest in yield-generating products such as stablecoin-backed savings accounts. Finally, it will also offer automated strategies comparable to quant strategies employed by many hedge funds. Eventually, Aspen intends to have a research arm, who will aggregate news in the sector and present market insights to clients.
Rothschild and crypto
“To have the oldest wealth management family in the world putting trust in us as a platform solution for the new world of crypto investment is a great validation,” Yang said of Rothschild’s involvement.
Rothschild-founded RIT invested in other crypto-related companies recently, such as US crypto exchange Kraken. Besides being its founder, Rothschild still remains RIT’s largest shareholder, with a 12.39% stake. The investment firm bearing his family’s name recently raised its Bitcoin exposure three-fold.