MEV Capital Management Ltd. is launching a new digital asset hedge fund “MEV Capital Stablecoin High-Yield Fund SP”, a Cayman Islands fund that “encompasses on-chain operations to on the public Ethereum Blockchain (incl. ZK-related L2s).”
The fund deploys and monitors trend-agnostic strategies “based on digital assets, seeking to capture yields and timed opportunities.”
The Fund interacts with Decentralized Finance protocols “as well as with digital asset derivative and hedging solution providers to achieve market neutrality.”
The fund follows “an open-ended structure and registered with the Cayman Islands Monetary Authority (CIMA), audited by a CIMA approved auditor.”
Laurent Bourquin, Director at MEV Capital Management, stated:
“We are delighted to deploy the MEV Capital Stablecoin High-Yield Fund SP to give access to DeFi strategies following a market-neutral mandate to institutional investors, while being in line with regulation and accounting standards. […] The investment approach is to invest through liquidity provision, market-making activities and arbitrage on chosen assets pegged on the dollar and selected for their security, liquidity, balancing mechanism, frequency of price opportunities, and yield return potential.“
The fund has “opened its subscription this month for the USDC denominated strategy, targeting an AuM of 130M$ through 2023.”
Additionally, MEV Capital Management is looking “to open a High-Yield Fund for ETH-denominated strategy later this year and extend their activities towards other Layer 2s overtime.”
As noted by its management, MEV Capital focuses “on finding and extracting value from the nascent cryptocurrency markets.”
MEV Capital says it “develops and deploys trend-agnostic strategies seeking to capture yields and timed opportunities.”
Its operations consist of “executing on-chain transactions and interacting with public protocols known as DeFi (Decentralized Finance) applications.”
These protocols are “selected to reflect internal risk management rules, fit regulatory criteria, and answer investor needs of security and flexibility for their assets.”
MEV Capital’s investment policy and market approach are “built to provide investors with consistent returns from a highly liquid environment.”
In order to deploy and execute blockchain-based investment strategies, MEV Capital develops Web3 integrations and market data intelligence algorithms “for internal use and for corporate clients.”