Blockchain technology continues to attract a lot of attention. Various firms are looking to get in on the action. In Perth, DigitalX Ltd is setting up a cryptocurrency fund. That is an interesting decision considering how this group mainly focuses on blockchain technology. Even so, this only further confirms people need to pay more attention to the primary use case of distributed ledgers.

It is evident DigitalX Ltd sees merit in cryptocurrency. The company, known for its blockchain efforts, is looking to set up a new cryptocurrency investment fund. They want to make it easier for investors to access currencies which fly under the radar. A remarkable business proposition, even though such a fund will also be a bit of a risk. Most of the currencies people aren’t paying attention to fall victim to pump-and-dump schemes.

DigitalX Taps Into the Cryptocurrency Market

For the time being, it seems DigitalX will mainly focus on initial coin offerings. Additionally, they want to target the leading cryptocurrency assets. Diversification is an important measure in the world of cryptocurrency. Although all coins derive value from Bitcoin, there’s a lot more to this industry compared to just BTC. Keeping tabs on different currencies is of the utmost importance

DigitalX LTD managing director Leigh Travers comments as follows:

“We believe cryptocurrencies are under-researched by mainstream asset managers and there is an opportunity to leverage our expertise in blockchain technology and crypto-asset investment to create value for our clients. DigitalX continues to aim to be a leading player in the crypto-asset space in Australia and has to date built extensive experience within its team managing crypto-assets and understanding the protocols behind different crypto-assets, including currencies and tokens.”

It is interesting to note this new fund will have a provision. More specifically, individual investments cannot exceed 20% of the fund assets except for Bitcoin or cash. Moreover, all supported currencies will need to have their “legality confirmed”. This seems to hint at how the fund will exclude tokens potentially violating securities laws. An interesting decision by the company. DigitalX is certainly heading in an interesting direction with this new fund.

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