Hedge Funds Investing in Crypto: Strategies and Risks

Hedge Funds Investing in Crypto: Strategies and Risks

<h1>Hedge Funds Investing in Crypto: Strategies and Risks</h1> <p>The trend of <strong>hedge funds investing in crypto</strong> has surged, driven by institutional demand for digital asset exposure. According to a 2025 Chainalysis report, over 38% of hedge funds now allocate capital to <strong>blockchain–based assets</strong>, seeking alpha generation through <strong>volatility arbitrage</strong> and <strong>quantitative trading models</strong>.</p> <h2>Pain Points…