The first Luxembourg-domiciled fund investing fully in crypto assets is expected to launch in less than six months, with necessary regulatory and compliance work underway.
Q Securities, an investment firm acting as the depositary for Luxembourg-domiciled alternative investment funds (AIFs), says it has informed the Grand Duchy’s regulator that is intends to offer depositary services for crypto funds in Luxembourg.
Crypto assets are digital assets covering a broad investment asset class comprising cryptocurrencies and other digital assets, objects whose value has been moved to blockchain. The market is soaring, with Chainalyst reporting a 567 per cent year-on-year transaction volume growth to reach USD15.8 trillion at the end of 2021. A recent survey by PwC Luxembourg and LHoFT shows that for more than half of respondents, crypto-assets already are a strategic priority or will become one in the next 24 months.
The interest in the asset class has been brewing for some time, as institutional investors seek diversification and high return potential in the long term.
