Asset Manager NYDIG Raises $5M for Third Bitcoin Fund in 2020

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12 August 2020

New York Digital Investments Group (NYDIG) has raised just under $5 million for yet another bitcoin investment vehicle.

  • The Manhattan-based asset manager informed the Securities and Exchange Commission (SEC) Monday it had raised funds for its new NYDIG Bitcoin Fund in a private placement.
  • Per its Form D filing, 56 investors have now committed to the fund but NYDIG has not disclosed the fund's net asset value.
  • The Bitcoin Fund, which will allocate combined commits into a series of investments, launched in July 2019 with six investors who invested a total of $1.45 million at the time.
  • The $5 million is just the initial raise and the fund is still open to additional commits.
  • The SEC counts private placements as exempt offerings as securities aren't publicly available and are generally only sold to accredited investors.
  • NYDIG has held a New York BitLicense since 2018. Benjamin Lawsky, the BitLicense's architect, joined the company nearly a year before.
  • Monday's raise will be the third securities offering NYDIG has held this year.
  • The asset manager raised $190 million for a similarly named NYDIG Institutional Bitcoin Fund LP in July, and $140 million for a Bitcoin Yield Enhancement Fund the month before.
  • It's unclear what differentiates the funds from one another.

See also: Standard Chartered to Launch Institutional Crypto Custody Solution