A new $100 million investment company, going under the name Darma Capital, is currently making strides with Ethereum. In fact, you could call it a gamble as the firm is betting big that the leading smart-contract platform will go on a ten-year bull run.
By the end of last year, Ethereum lost around 95 percent of its gains but despite this, a new fund is betting that that was just a one-off and in the long-term, things are going to pay off. Darma Capital clearly has a lot of faith in Ethereum and they’re buying as much as they can during this time in the market.
A managing member at the firm, Andrew Keys has said that the cryptocurrency space today is still like the early days of the internet. With this, Ether is the equivalent to the early web but unlike our current internet, investors are able to directly invest in the ‘web 2.0’.
It’s an intriguing idea, and more than likely the reason as to why Darma Capital has been so bullish on Ethereum. But they aren’t the only ones. Societe Generale SA (often nicknamed SocGen) recently issued a 100 million euros-worth of bonds on the public Ethereum blockchain.
As reported by Be in Crypto:
“Darma is currently registered with the Commodity Futures Trading Commission (CFTC). The fund is licensed as both a commodity pool operator and commodity trading advisor.
As of now, the purpose of the fund is, simply put, to buy as much ether as possible. In fact, Keys said that Darma sold the top in early 2018 to acquire more ether. The fund is actively trading to accumulate for the long game.”
Even so, there are still some big questions that look over the Ethereum network. Worries concerning privacy and scalability immediately are good examples. Whereas others will take an issue with the currently-uncapped supply of coins.
Despite all this, Darma’s big bet of Ethereum could give investors the confidence they need. If corporate get involved for such a long time, there’s a reason for it.
Before we finish though, it’s worth saying that we aren’t financial investors and this wasn’t financial advice. Please do your own research before putting your money in a cryptocurrency like Ethereum, and always remember to trade safe!
Source: Crypto Daily