Bitfury, Final Frontier launch regulated bitcoin mining fund

Blockchain startup Bitfury, in collaboration with Swiss investment firm Final Frontier, has launched a regulated bitcoin mining fund for institutional and professional investors.

The fund will offer investors a regulated investment vehicle to gain exposure to bitcoin mining. The launch follows authorization by a European financial regulator.

Traditionally, bitcoin mining has posed technological, logistical, financial and execution risk challenges to institutional investors. The fund will address these challenges by “offering exposure to bitcoin mining via a fully regulated fund in a European jurisdiction, with top-tier service providers.”

Per the announcement, the fund will invest in turnkey assets comprised of mining sites with “some of the lowest electricity and operating costs globally" featuring state-of-the-art Bitfury datacenters. The mining sites will be scouted and operated by Bitfury.

George Kikvadze, executive vice-chairman of Bitfury, said the new fund will move bitcoin closer to mainstream adoption.

“This is great news for investors who are looking to strengthen their portfolios, as well as for the global community that understands that digital currencies are becoming an integral part of the financial services industry,” Kikvadze said.

Imraan Moola, co-founder of Final Frontier, said they are launching the fund at an “advantageous time” for investors.

“With the bitcoin price down significantly from its all-time high, yet institutional interest growing every day, now may be an opportune time to consider investing in bitcoin mining,” Moola said.