Stone Ridge Asset Management, the holding company behind the New York Digital Investment Group has filed notice with U.S Securities and Exchange Commission advising that it will liquidate the Bitcoin Strategy Fund.
The asset manager stated that the Stone Ridge Trust board approved a Friday plan for liquidating and dissolving its Stone Ridge Bitcoin Strategy Fund. This was the first file with the SEC back in July 2021. The plan states that the asset management company will continue to manage the fund until Oct. 3. After which it will “reduce to cash” the fund in preparation for liquidation.
According to the filing, “The liquidation is expected to occur on or around October 21, 2022.” The Fund’s shares won’t be available for purchase after October 3rd 2022.
According to its July 2021 prospectus , the Bitcoin ( BTC Strategy Fund aimed at offering exposure to the cryptocurrency via futures market, since the SEC has not approved spot investments vehicles that are linked to BTC. At the time, the asset manager stated that the fund’s objective was capital appreciation.
Yahoo Finance data showed that the fund had approximately $2.8 million in net assets as of the publication. From April 2022 , a semi-annual Stone Ridge report stated that more then half (50.5%) of the funds were allotted to foreign government agency bonds. The fund also had more than $10.9million in total net assets.
Related: Simplify Files with SEC for Bitcoin Strategy Risk Managed Income ETF
Stone Ridge bought 10,000 Bitcoins through NYDIG in October 2020 as part of its post-pandemic investment strategy. This made Stone Ridge one of the largest holders of BTC of private companies. The price of Bitcoin at the time of publication was $22,230. hit a three-week high Monday.