Cryptocurrencies

Former HSBC, Citigroup, Merrill Lynch Execs Start $50M Crypto Fund

(Lee Yiu Tung/Shutterstock)

Banking veterans who have steered divisions at HSBC, Citigroup and Merrill Lynch in the Asia-Pacific region are ditching traditional finance to invest in cryptocurrencies.

  • People familiar with the matter told CoinDesk that Joseph Chang, head of equities trading and prime finance at Merrill Lynch, HSBC and Citigroup Asia-Pacific from 1997 to 2016, and Grahame Webb, formerly head of technology for HSBC and Citigroup Asia-Pacific prime finance and securities services, have been trading cryptocurrencies since June through a new Hong Kong-based fund, Liquibit Capital.
  • Liquibit Capital, also managed by a former Barclays Capital vice president and two current JPMorgan and Wells Fargo technicians, will manage assets worth $50 million, the people said.
  • Liquibit is said to arbitrage a portfolio of bitcoin, bitcoin cash, ether, litecoin and eos, custodied with Fireblocks.
  • It is expected to expand to trading derivatives, options and futures on BitMEX, Huobi, OKEx and Deribit – cryptocurrency exchanges with a largely Asia-based presence.
  • Chang, now Liquibit Capital’s chief investment officer, said regulatory bloat and a surplus of middlemen at investment banks convinced him and his partners to switch to cryptocurrency markets.
  • Webb, chief technology and operating officer at Liquitbit Capital, has also previously structured custody and clearing architecture for securities flowing between wealth managers.

Also read: Diginex Moves Closer to Backdoor Nasdaq Listing With Merger Approval

Related Stories

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Latest Cryptocurrencies Videos

CoinDesk

CoinDesk is the leading digital media, events and information services company for the crypto asset and blockchain technology community. Its mandate is to inform, educate and connect the global community as the authoritative daily news provider dedicated to chronicling the space. Founded in May 2013, CoinDesk reaches millions interested in blockchain technology thru its website, social media, newsletters, podcasts and video. CoinDesk created the original reference rate known as the Bitcoin Price Index which is widely sourced in the media including The Wall Street Journal, Financial Times, CNBC and many others on a daily basis.

Learn More