Digital asset financial services company Tok-Edge has raised approximately $1.5 million at a $15 million valuation from investor Markus Meyer
in preparation for the launch of an institutional cryptocurrency hedge fund, Investing.com has learned.
Meyer, along with a group of other investors, plans to be the anchor investor in the fund, with capital of up to $10 million. Meyer previously founded a fund with $10 billion in assets under management.
Tok-Edge also intends to attract investors from family offices, venture capital firms, and cryptocurrency firms.
Initial interest in Tok-Edge has been strong. The company aims for a "first close" of $100 million—a key milestone when the fund receives enough investor commitments to begin allocating capital to digital assets—later this year.
Led by a management team with experience at traditional financial groups such as CVC Capital Partners and Bain Capital, Tok-Edge aims to offer institutional investors a regulated and structured way to deploy capital into cryptocurrency markets.
"Institutional demand for digital assets has now been confirmed by BlackRock's Bitcoin ETF and Strategy's digital treasury. However, these are single-asset products limited by traditional financial infrastructure—they don't address DeFi, where capital markets are being rebuilt on blockchain with 24-hour settlement, no centralized intermediaries, and programmable infrastructure," Tok-Edge Chief Investment Officer Rais Chowdhury told Investing.com.
Unlike some crypto funds that lock up capital for years, Tok-Edge structures its fund as a liquidity strategy that will give investors the ability to withdraw capital at scheduled intervals. The company stated that this model is designed to resemble the liquidity of traditional hedge funds.
Meanwhile, Tok-Edge is also introducing a digital instrument called a "Redemption Token," which will be issued to fund investors. The token is designed to be freely traded on public blockchains, allowing investors to sell the digital asset on a cryptocurrency exchange or use it in other applications.
Tok-Edge announced it will conduct a smaller funding round with a cap of $21 million, which will coincide with the token generation event. Every dollar invested in the fund at launch will be reflected in the issuance of one redemption token. Distribution of investor funds is expected to be completed in the coming months.