The 21e6 Crypto Fund Dashboard has ready-made analyses based on the 21e6 Crypto Fund Database. Some of these analyses were part of prior articles in this blog series.
21e6 offers a free light version of the Fund Dashboard. You will find the top crypto custodians, the top crypto lawyers, and a simple performance benchmarking tool in the free version of the Fund Dashboard.
The 21e6 Fund Dashboard is available here.
Photo: Alesia Kozik
Table of Contents
- Performance Benchmarks
- Top Crypto Custodians
- Crypto Law Firms
- Fund Administrators
- Strategy Frequencies
- Conclusion & Outlook
The 21e6 Crypto Fund Database provided the basis for many short research articles this year. Notably, we created a half-year report that was covered by news outlets such as Bloomberg and Cointelegraph, presented the top 5 custodians, the top 5 lawyers, and the top 5 fund administrators.
The underlying information was always available to our subscribers as well. But diagrams take time to make, so we are now making prior research available with up-to-date information at all times.
Anybody interested in the top players in the crypto space can use the free dashboard to explore the crypto fund industry’s performance and to always know about the top service providers for crypto funds.
In this article, we explain what the individual diagrams mean and how they are calculated. You can follow along using the live dashboard.
The crypto performance benchmark diagram provides the hypothetical indices for three broad crypto fund baskets: directional, non-directional, and composite. Directional strategies consist of funds that take directional risk. Most commonly, these funds take market risk and move up and down with or in opposition with the market. To get to know more about our sub-strategies within the directional basket, please refer to this article. [1.1] Non-directional strategies are also a high-level basket composed of several sub-strategies such as arbitrage, futures arbitrage, and market making. We have written an article about non-directional strategies as well. [1.2] The composite basket simply takes all funds from all strategies together.
In these performance benchmarks, we assume that all baskets are rebalanced monthly and contain funds in equal allocation.
In the full version of the dashboard, you can create your own benchmarks based on the 21e6 Strategy Classification framework, allowing you to pick-and-choose from about 20 different sub-strategies to build benchmarks.
We performed a similar analysis in our half-year review 2023. [1.3]
Top Crypto Custodians
The crypto fund dashboard also allows you to see the top crypto custodians for crypto funds.
We went into depth into the custodian topic in an article from June 2023. [2.1]
With the full database, you can see which fund uses which custodian to get even better insights. As you can see below, the market is currently dominated by Coinbase and Copper, followed by Fireblocks. FalconX and Matrixport both offer prime brokerage on top of their custody offering, which may help them increase their market share in the future.
Crypto Law Firms
Funds often have a hard time finding experienced crypto lawyers. So we have created a diagram with the lawyers most commonly employed by crypto hedge funds. These lawyers usually have a strong presence in the jurisdictions common amongst funds and their managers, such as the United States or the Cayman Islands.
Again, we covered the topic of legal counsels for crypto funds in a separate article. [3.1]
Crypto-friendly fund administrators are also not always easy to find. A clear leader in the market is NAV Consulting, a favorite amongst new fund managers. Many more experienced managers work with Formidium, Trident or MG Stover. Often, this can be due to pre-existing relationships built between the managers and administrators during prior, non-crypto related endeavors.
In August 2023, we wrote a piece about crypto fund administrators (who often also act as paying and transfer agents) in our blog. [4.1].
Investors are usually interested in which strategies are available through professional funds. The strategy split charts provide insights into how popular individual sub-strategies are. For directional funds, discretionary strategies are the most common. These are usually fundamental managers holding high-conviction portfolios over a longer time horizon. On the non-directional side, lending & farming funds as well as arbitrageurs are dominating the crypto hedge fund market. Crypto hedge funds focused on futures-related strategies dropped in number recently, due to low funding rates and liquidity in futures markets.
We have covered this topic already in May 2023 as one of the first articles about the 21e6 Crypto Fund Database. [5.1]
Conclusion & Outlook
All analyses discussed here are available for you to explore on your own.
The free version of the 21e6 Crypto Fund Database Dashboard provides you with a sense of what our data has to offer. Hopefully some of these analyses are helpful for your day-to-day business. If you need more granular data, the full version of the dashboard and the raw data from the extensive 21e6 Crypto Fund Database will likely meet all your needs.
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as investment advice, endorsement, or recommendation. Consult a qualified financial professional before making any investment decisions. Neither the authors nor 21e6 Capital shall be liable for any loss or damage arising from reliance on the information contained herein.
21e6 Capital is a Swiss investment advisor, connecting professional investors with optimal crypto investment products.
Please find more information about our authors on our homepage: 21e6.io
Jan Spörer is Due Diligence Manager at 21e6 and responsible for overseeing the content quality management of the 21e6 Crypto Fund Database.
Maximilian Bruckner is Head of Marketing & Sales at 21e6 Capital AG.
21e6 Crypto Fund Database, cryptofunds.21e6.io
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