{"id":269638,"date":"2020-07-27T07:03:16","date_gmt":"2020-07-27T11:03:16","guid":{"rendered":"https:\/\/insidebitcoins.com\/?p=269638"},"modified":"2020-07-27T07:03:16","modified_gmt":"2020-07-27T11:03:16","slug":"uks-first-crypto-hedge-fund-prime-factor-closing-from-lack-of-demand","status":"publish","type":"post","link":"https:\/\/insidebitcoins.com\/news\/uks-first-crypto-hedge-fund-prime-factor-closing-from-lack-of-demand","title":{"rendered":"UK\u2019s First Crypto Hedge Fund, Prime Factor, Closing From Lack Of Demand"},"content":{"rendered":"

The first-ever licensed digital currency hedge fund that was set up within the borders of the UK is set to close its doors. This comes after the firm had failed to attract the needed levels of investment from institutional investors<\/a>.<\/p>\n

First In; First Out<\/strong><\/h2>\n

Prime Factor Capital first won the Financial Conduct Authority (FCA)\u2019s approval back in the summer of 2019. It stood as the first-ever crypto hedge fund to be licensed by the UK-based regulator. Even so, things didn\u2019t seem to work out, as Financial News reported<\/a> that the firm is planning to close up shop. The reason for this is simply due to a lack of institutional investor demand.<\/p>\n

Prime Factor Capital was founded by BlackRock\u2019s former executives, but had failed to live up to the expectations the fund had made since its launch.<\/p>\n

\"US<\/a><\/p>\n

A Simple Lack Of Demand<\/strong><\/h2>\n

Nic Niedermowwe stands as the CEO of Prime Factor Capital, and gave a public statement about the matter at large. He explained that the fund did actually deliver returns for its investors, having managed to deliver an average monthly performance of over 4%. Even so, Nidermowwe explained that there was a simple lack of institutional investment, and as such, the fund has no other choice but to be wound down.<\/p>\n

Sources that were close to the company went into detail, as well. In press reports, these sources were quoted in saying that the fund couldn\u2019t get enough traction when it comes to raising assets. In a bid to keep itself afloat, the hedge fund even tried to sell a stake in the management company during these past six to twelve months, seemingly to no avail.<\/p>\n

Institutions Still See Crypto As Too Risky<\/strong><\/h2>\n

The UK\u2019s digital currency investment sector has taken yet another blow with this news. The UK\u2019s crypto space<\/a> has simply failed when it comes to securing a significant amount of institutional-level investment partners. As a result of the simple lack of investor confidence within this asset class, Prime Factor Capital and other funds like it are struggling to raise sufficient assets.<\/p>\n

Prime Factor Capital, in particular, was banking heavily on a dramatic rise in interest from banks and investment funds. Prime Factor promised to deliver a solid monthly return through its digital asset investment. However, the simple fact of the matter was that the risk profiles were just too high. As a result, institutional investors are still staying away from speculating on digital currencies<\/a>, by virtue of sheer volatility.<\/p>\n","protected":false},"excerpt":{"rendered":"

The first-ever licensed digital currency hedge fund that was set up within the borders of the UK is set to close its doors. This comes […]<\/a><\/div>","protected":false},"author":1717,"featured_media":256203,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[7596],"tags":[7598,11119,7599,7893,8237],"class_list":["post-269638","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency","tag-crypto","tag-fund","tag-market","tag-trading","tag-uk"],"acf":[],"yoast_head":"\nUK\u2019s First Crypto Hedge Fund, Prime Factor, Closing From Lack Of Demand<\/title>\n<meta name=\"description\" content=\"Prime Factor Capital, in particular, was banking heavily on a dramatic rise in interest from banks and investment funds.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"UK\u2019s First Crypto Hedge Fund, Prime Factor, Closing From Lack Of Demand\" \/>\n<meta property=\"og:description\" content=\"Prime Factor Capital, in particular, was banking heavily on a dramatic rise in interest from banks and investment funds.\" \/>\n<meta property=\"og:site_name\" content=\"InsideBitcoins.com\" \/>\n<meta property=\"article:published_time\" content=\"2020-07-27T11:03:16+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2020\/04\/UK-flag-Union-Jack-featured.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"801\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Ali Raza\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@ali_r1272\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Ali Raza\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"NewsArticle\",\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#article\",\"isPartOf\":{\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638\"},\"author\":{\"name\":\"Ali Raza\",\"@id\":\"https:\/\/insidebitcoins.com\/#\/schema\/person\/542f9bb7fcd1a45cdfd54e377a73fb2d\"},\"headline\":\"UK\u2019s First Crypto Hedge Fund, Prime Factor, Closing From Lack Of Demand\",\"datePublished\":\"2020-07-27T11:03:16+00:00\",\"dateModified\":\"2020-07-27T11:03:16+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638\"},\"wordCount\":429,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/insidebitcoins.com\/#organization\"},\"image\":{\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#primaryimage\"},\"thumbnailUrl\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2020\/04\/UK-flag-Union-Jack-featured.jpg\",\"keywords\":[\"Crypto\",\"Fund\",\"Market\",\"Trading\",\"UK\"],\"articleSection\":[\"Breaking Crypto News\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#respond\"]}],\"copyrightYear\":\"2020\",\"copyrightHolder\":{\"@id\":\"https:\/\/insidebitcoins.com\/#organization\"}},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638\",\"url\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638\",\"name\":\"UK\u2019s First Crypto Hedge Fund, Prime Factor, Closing From Lack Of Demand\",\"isPartOf\":{\"@id\":\"https:\/\/insidebitcoins.com\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#primaryimage\"},\"image\":{\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#primaryimage\"},\"thumbnailUrl\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2020\/04\/UK-flag-Union-Jack-featured.jpg\",\"datePublished\":\"2020-07-27T11:03:16+00:00\",\"dateModified\":\"2020-07-27T11:03:16+00:00\",\"description\":\"Prime Factor Capital, in particular, was banking heavily on a dramatic rise in interest from banks and investment funds.\",\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#primaryimage\",\"url\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2020\/04\/UK-flag-Union-Jack-featured.jpg\",\"contentUrl\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2020\/04\/UK-flag-Union-Jack-featured.jpg\",\"width\":1200,\"height\":801,\"caption\":\"UK Mining NFT UK Prime Minister\"},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/insidebitcoins.com\/#website\",\"url\":\"https:\/\/insidebitcoins.com\/\",\"name\":\"InsideBitcoins.com\",\"description\":\"Search & Compare Brokers within Crypto, Forex & Stocks\",\"publisher\":{\"@id\":\"https:\/\/insidebitcoins.com\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/insidebitcoins.com\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/insidebitcoins.com\/#organization\",\"name\":\"InsideBitcoins\",\"url\":\"https:\/\/insidebitcoins.com\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/insidebitcoins.com\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2022\/07\/insidebitcoins.svg\",\"contentUrl\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2022\/07\/insidebitcoins.svg\",\"width\":195,\"height\":32,\"caption\":\"InsideBitcoins\"},\"image\":{\"@id\":\"https:\/\/insidebitcoins.com\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/insidebitcoins.com\/#\/schema\/person\/542f9bb7fcd1a45cdfd54e377a73fb2d\",\"name\":\"Ali Raza\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/insidebitcoins.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2024\/04\/avatar_user_1717_1714353205-96x96.jpeg\",\"contentUrl\":\"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2024\/04\/avatar_user_1717_1714353205-96x96.jpeg\",\"caption\":\"Ali Raza\"},\"description\":\"Ali is a professional journalist with experience in Web3 journalism and marketing. Ali holds a Master's degree in Finance and enjoys writing about cryptocurrencies and fintech. Ali\u2019s work has been published on a number of leading cryptocurrency publications including Capital.com, CryptoSlate, Securities.io, Business2Community, BeinCrypto, and more.\",\"sameAs\":[\"https:\/\/www.linkedin.com\/in\/alirazak\/\",\"https:\/\/x.com\/ali_r1272\"],\"knowsAbout\":[\"Cryptocurrency\",\"Fintech\",\"Finance\"],\"jobTitle\":\"Editor\",\"url\":\"https:\/\/insidebitcoins.com\/author\/aliraza\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"UK\u2019s First Crypto Hedge Fund, Prime Factor, Closing From Lack Of Demand","description":"Prime Factor Capital, in particular, was banking heavily on a dramatic rise in interest from banks and investment funds.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638","og_locale":"en_US","og_type":"article","og_title":"UK\u2019s First Crypto Hedge Fund, Prime Factor, Closing From Lack Of Demand","og_description":"Prime Factor Capital, in particular, was banking heavily on a dramatic rise in interest from banks and investment funds.","og_site_name":"InsideBitcoins.com","article_published_time":"2020-07-27T11:03:16+00:00","og_image":[{"width":1200,"height":801,"url":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2020\/04\/UK-flag-Union-Jack-featured.jpg","type":"image\/jpeg"}],"author":"Ali Raza","twitter_card":"summary_large_image","twitter_creator":"@ali_r1272","twitter_misc":{"Written by":"Ali Raza","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"NewsArticle","@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#article","isPartOf":{"@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638"},"author":{"name":"Ali Raza","@id":"https:\/\/insidebitcoins.com\/#\/schema\/person\/542f9bb7fcd1a45cdfd54e377a73fb2d"},"headline":"UK\u2019s First Crypto Hedge Fund, Prime Factor, Closing From Lack Of Demand","datePublished":"2020-07-27T11:03:16+00:00","dateModified":"2020-07-27T11:03:16+00:00","mainEntityOfPage":{"@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638"},"wordCount":429,"commentCount":0,"publisher":{"@id":"https:\/\/insidebitcoins.com\/#organization"},"image":{"@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#primaryimage"},"thumbnailUrl":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2020\/04\/UK-flag-Union-Jack-featured.jpg","keywords":["Crypto","Fund","Market","Trading","UK"],"articleSection":["Breaking Crypto News"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#respond"]}],"copyrightYear":"2020","copyrightHolder":{"@id":"https:\/\/insidebitcoins.com\/#organization"}},{"@type":"WebPage","@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638","url":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638","name":"UK\u2019s First Crypto Hedge Fund, Prime Factor, Closing From Lack Of Demand","isPartOf":{"@id":"https:\/\/insidebitcoins.com\/#website"},"primaryImageOfPage":{"@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#primaryimage"},"image":{"@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#primaryimage"},"thumbnailUrl":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2020\/04\/UK-flag-Union-Jack-featured.jpg","datePublished":"2020-07-27T11:03:16+00:00","dateModified":"2020-07-27T11:03:16+00:00","description":"Prime Factor Capital, in particular, was banking heavily on a dramatic rise in interest from banks and investment funds.","inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638#primaryimage","url":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2020\/04\/UK-flag-Union-Jack-featured.jpg","contentUrl":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2020\/04\/UK-flag-Union-Jack-featured.jpg","width":1200,"height":801,"caption":"UK Mining NFT UK Prime Minister"},{"@type":"WebSite","@id":"https:\/\/insidebitcoins.com\/#website","url":"https:\/\/insidebitcoins.com\/","name":"InsideBitcoins.com","description":"Search & Compare Brokers within Crypto, Forex & Stocks","publisher":{"@id":"https:\/\/insidebitcoins.com\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/insidebitcoins.com\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/insidebitcoins.com\/#organization","name":"InsideBitcoins","url":"https:\/\/insidebitcoins.com\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/insidebitcoins.com\/#\/schema\/logo\/image\/","url":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2022\/07\/insidebitcoins.svg","contentUrl":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2022\/07\/insidebitcoins.svg","width":195,"height":32,"caption":"InsideBitcoins"},"image":{"@id":"https:\/\/insidebitcoins.com\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/insidebitcoins.com\/#\/schema\/person\/542f9bb7fcd1a45cdfd54e377a73fb2d","name":"Ali Raza","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/insidebitcoins.com\/#\/schema\/person\/image\/","url":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2024\/04\/avatar_user_1717_1714353205-96x96.jpeg","contentUrl":"https:\/\/insidebitcoins.com\/wp-content\/uploads\/2024\/04\/avatar_user_1717_1714353205-96x96.jpeg","caption":"Ali Raza"},"description":"Ali is a professional journalist with experience in Web3 journalism and marketing. Ali holds a Master's degree in Finance and enjoys writing about cryptocurrencies and fintech. Ali\u2019s work has been published on a number of leading cryptocurrency publications including Capital.com, CryptoSlate, Securities.io, Business2Community, BeinCrypto, and more.","sameAs":["https:\/\/www.linkedin.com\/in\/alirazak\/","https:\/\/x.com\/ali_r1272"],"knowsAbout":["Cryptocurrency","Fintech","Finance"],"jobTitle":"Editor","url":"https:\/\/insidebitcoins.com\/author\/aliraza"}]}},"_links":{"self":[{"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638"}],"collection":[{"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/users\/1717"}],"replies":[{"embeddable":true,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/comments?post=269638"}],"version-history":[{"count":0,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/posts\/269638\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/media\/256203"}],"wp:attachment":[{"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/media?parent=269638"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/categories?post=269638"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/insidebitcoins.com\/wp-json\/wp\/v2\/tags?post=269638"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}