In a strategic expansion into digital assets, Cantor Fitzgerald Asset Management is preparing to launch a Bitcoin investment fund that incorporates a gold-based risk buffer.
The upcoming Gold Protected Bitcoin Fund, L.P. will run on a five-year term and promises full participation in Bitcoin’s price increases, with losses mitigated by a 1:1 link to the price of gold.
Merging Gold’s Safety with Bitcoin’s Growth
With this hybrid model, Cantor Fitzgerald aims to ease investor concerns over Bitcoin’s notorious price swings. By anchoring downside protection to gold, the fund provides a novel way to balance risk and reward in crypto investing.
The firm has been actively building out its crypto footprint, recently announcing a $3 billion venture called 21 Capital in collaboration with Tether, Bitfinex, and SoftBank. The new firm seeks to ride the momentum of favorable crypto regulation in the U.S.
“Our mission is to innovate for clients exploring digital asset opportunities,” said Chairman Brandon G. Lutnick.
Investor subscriptions for the fund are expected to open in the coming weeks.
