Two pension funds from the US state of Virginia have submitted applications to the regulator for approval of investments in the main fund Parataxis Capital Management, which directly buys cryptocurrencies.
The Fairfax Police Pension Fund and the Fairfax Civil Servants Pension Fund have previously invested in the cryptocurrency industry through Morgan Creek funds. However, most of the fund’s funds are invested in companies operating in the blockchain and cryptocurrency industries. The Parataxis Fund, on the other hand, invests directly in bitcoin, various tokens and cryptocurrency derivatives.
Bloomberg notes that many pension funds are exploring the possibility of investing in the cryptocurrency industry, but so far only a small number of funds are deciding on such investments.
Parataxis Capital Management was founded in 2019 by former portfolio managers Galaxy Digital and LedgerPrime. Currently, Parataxis manages $ 55 million. The company’s management announced that negotiations are underway with some other pension funds.
In early August, a law came into force in Germany that allows special funds (Spezialfonds) to invest up to 20% of the volume of a managed portfolio in crypto assets. The volume of possible investments in the cryptocurrency industry is estimated at $ 650 billion.
