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Starting a Cryptocurrency Hedge Fund

The number of Cryptocurrency Hedge Fund is a record 226 globally. At the start of 2017, there were only 37 such crypto hedge funds. In October 2017, the number rose to 110 crypto hedge funds from 55 crypto hedge funds in August 2017. In February 2018, the number rose to the current record of 226.

As you can see, the number of Cryptocurrency Hedge funds is increasing exponentially. We know that without a high enough profit, this case will definitely not occur. According to the Eurekahedge, one of the leading hedge fund database provided, cryptocurrency hedge funds show an average of 1477.85 percent in 2017. This means that if you invested $100 at the start of 2017 in cryptocurrency hedge fund, by the end of the year you would have made $1477.85. There is no wonder that the number of cryptocurrency hedge funds are increasing.

Also read, The Cryptocurrency Story (Bitcoin Is One)

However, before we get into how to start a cryptocurrency exchange software hedge fund, we need to first understand what a hedge fund is. A hedge fund is an investment fund where numerous different accredited individual (individuals with special status under financial regulation laws such as high net worth individuals and etc) and institutional investors invest in an asset or assets under a professional investment management firm. These are also termed as limited partnerships, limited liability companies and etc. Basically, this means you provide the funds for an investment while the one who is managing the investment takes a cut from the profits you make.

So why invest in cryptocurrency hedge funds? Well, the cryptocurrency market is highly volatile. Let us take bitcoin as an example. From hitting its record high $20,000 per bitcoin in December 2017 to the value of $6,000 per bitcoin a month later in January 2018, there is no doubt that cryptocurrency is highly volatile. You can turn into a millionaire overnight or even lose the very shirt that you are wearing.

Dr. Changhe Qiao, the co-founder of decentralized hedge fund, Alpha Protocol once said, “High volatility is an enemy to individual investors, but a friend to hedge funds” and this holds true.

Starting a cryptocurrency hedge fund is the right move if you wish to engage in cryptocurrency and yet are hesitant due to its high volatility.

Also read, 7 Incredible Benefits Of Cryptocurrency

The basic requirement, before any venture, is at least a basic knowledge of the field or sector you are attempting to crack into. With how complicated cryptocurrency is, it is no wonder that most shun it. However, with a cryptocurrency hedge fund, you do not have to know everything about it. As long as you encounter and invest in a trustworthy cryptocurrency hedge fund, you can have little to no knowledge on cryptocurrency. This is the main selling point of cryptocurrency hedge funds and the main attraction behind hedge funds.

However, you cannot start a hedge fund without a cryptocurrency exchange script. You will need a team of blockchain experts who have to work for months before your alpha script is ready. As you can imagine, this will take a lot of time, manpower and funds. This is where bitexchange.systems comes in.

According to their website, they provide ready made cryptocurrency exchange script for completely free. Furthermore, they provide the full source code such that you can rest assured that there is no fishy business going on. With this script you can hit the market running and at full speed. Their free to download script is completely safe with a huge measure of security checklist and claim to have the Fort-Knox level of security.

They also have a liquidity management and margin trading modules that can be added to your cryptocurrency platform with little to no effort. With their liquidity management module, your order book is busy from day 1. With most individuals looking at your order book before deciding to invest in your hedge fund, this module is perfect for you. Their advanced margin trading module allows your users to trade on borrowed funds and further provides provision for users to lend and earn.

As you can see, why to spend funds on creating a new blockchain exchange script when you can save the same funds by using the free and ready to download cryptocurrency exchange script from bitexchange.systems. Acquire huge wealth by starting a cryptocurrency hedge fund.

The post Starting a Cryptocurrency Hedge Fund appeared first on Tricksbite.



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Starting a Cryptocurrency Hedge Fund

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