By Nell Mackenzie
LONDON (Reuters) – Hedge funds trading crypto currencies tracked by index provider BarclayHedge ended 2022 down nearly 50%, the learn firm said on Tuesday, a signal that the cave in of the cryptocurrency exchange FTX continues to ripple thru the enterprise.
FTX filed for Chapter 11 financial waste protection within the United States in November following its spectacular cave in that despatched shivers thru the enterprise.
Ben Crawford, head of learn at BarclayHedge, said since FTX fell to gadgets, the dialog spherical trading crypto currencies had develop into polarised and that “appropriate believers” in crypto were “cranking up their evangelizing to 11.”
“The more skeptical voices receive grew to develop into to overtly wondering if the ‘Crypto Iciness’ isn’t a season at all, nonetheless a dispute more such as a nuclear iciness,” said Crawford.
An index of 47 hedge funds, the names of which BarclayHedge retains nameless, posted a shortage of over 47% for the year, the facts said.
Nonetheless the 2022 result turn out to be now not the worst performance the index has viewed within the leisure 5 years. The Cryptocurrency Traders Index ended 2018 down over 60%, said BarclayHedge, which is share of the firm Backstop Alternatives.
On the different hand, the life like 5-year performance of the index if an investor turn out to be ready to preserve to their put would receive been over 46%, BarclayHedge data said.