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New Platform Says It Enables Regular and Advanced Users to Create Their Own Crypto Fund

What if you could create and manage your own crypto fund with just a few clicks? Now, a company wants to bring that functionality to everyone.

Crypto funds act as a “basket” of different digital assets and can offer a variety of benefits over purchasing individual coins, such as ease of management and the relative safety that comes with diversification. Fortunately, creating and maintaining your own fund just became a lot easier, the platform notes. 

The team behind the Iconomi platform says it wants to offer a way for all users — regular and advanced — to easily get involved in cryptocurrency funds, without the complications that often come with traditional offerings like exchange-traded funds (ETFs), which can find customers navigating obscure terms and putting up with minimum buy-ins. 

The solution the company found has been to enable customers to create and manage their own personal index, with exposure to 70+ coins, the ability to use algorithms “to maximize returns,” and the option to rebalance the fund in “a few clicks.”

The reason that some users look to actively or passively managed funds, as opposed to just individual coins, is that diversity comes with a variety of benefits. For one, clients don’t have to pick and choose which projects they support one at a time, but instead can create a portfolio that intelligently channels their money into predefined currencies. Another boon is that diversity offers some protection against the volatility of the market, which is a well-known risk in crypto.

Iconomi has come in to offer users control over their own fund, whereas usually one would have to seek out such a product from an institution, often putting up with limitations such as lack of control over how the money is managed. With Iconomi’s system, anyone can retain all the power and set up not only their own basket of projects to support but also define their own strategies for rebalancing their index.

CHECK OUT ICONOMI’S PLATFORM HERE

Following experts

Some individuals may not want complete control over their own fund, and in that case, Iconomi has plenty of hands-off options. By offering an array of baskets that are actively managed by Iconomi experts, users can have the confidence of following someone who already has their own strategy and can rebalance the fund without any work on the part of the user.

In a recent interview with CriptoNoticias, Iconomi’s co-founder and CEO, Tim M. Zagar, discussed the benefits of working with the company’s experts and how they can aid beginners who aren’t sure what exposure they want. According to Zagar, “Iconomy experts choose the cryptocurrencies and manage the funds depending on market conditions, while investors can sit back and track their investments anytime and anywhere.”

If a user wants to manage everything themselves instead, Iconomi will enable him or her to set up a new fund, to choose which coins he or she wants to include, and to perform his or her first buy-in — all in a matter of minutes. If a customer is feeling particularly confident in their strategy, they are able to invite others to partake in their index, and even define their own management fee of up to 10%. 

A platform with regulatory backing

Something that may put many users’ minds at ease is knowing that Iconomi, based in the United Kingdom, recently had its governance prospectus approved by the Financial Market Authority (FMA) of Liechtenstein, meaning that the company now has a well-defined legal framework for operation. This has led to the creation of a parent company for all the offered services, Iconomi AG, as well as the issuance of a security offering, titled Profit Participation Securities.

Iconomi says it has been working hard to ensure that it is operating within clear and transparent guidelines so that its clients can trust the integrity and future of the platform. Furthermore, the team has made sure that any user can not only review its prospectus themselves online but also access the history of the company’s financial reports. 

For accessibility reasons, the current platform only offers deposits in the form of Bitcoin (BTC), Ether (ETH) and euros. This comes down to the fact that BTC and ETH are the cryptocurrencies with the highest liquidity and Europe is currently where the majority of the user base comes from. However, Zagar has maintained that, “In the future, we are looking to add other currencies as well.”

Learn more about Iconomi

Disclaimer. Cointelegraph does not endorse any content or product on this page. While we aim at providing you all important information that we could obtain, readers should do their own research before taking any actions related to the company and carry full responsibility for their decisions, nor this article can be considered as an investment advice.

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Andreessen Horowitz Has Launched a $300 Million Crypto Fund

Silicon Valley investment powerhouse Andreessen Horowitz (a16z) has launched a new $300 million fund focused on cryptocurrencies.

The fund, as explained in a blog post published Monday, will be named “a16z” and will notably feature former federal prosecutor and Assistant U.S. Attorney Kathryn Haun as one of its co-leads.

That the investment firm would move to vastly expand the scope of its activities in the industry is unsurprising, given the millions it has poured into projects and protocols built around a range of use cases. Andreessen Horowitz has also invested in a number of notable startups, including crypto exchange Coinbase.

General partner Chris Dixon indicated in the post that the crypto-fund would take a decidedly long-term tack in its investments.

“We’ve been investing in crypto assets for 5+ years,” he wrote. “We’ve never sold any of those investments, and don’t plan to any time soon. We structured the a16z crypto fund to be able to hold investments for 10+ years.”

Dixon went on to add:

“We plan to invest consistently over time, regardless of market conditions. If there is another ‘crypto winter,’ we’ll keep investing aggressively.”

In another hint at the fund’s overall thesis, Dixon said that a16z would focus its efforts on projects with a “non-speculative use case.”

“We want services powered by crypto protocols to be used by hundreds of millions and eventually billions of people,” Dixon wrote. “Crypto tokens are the native asset class of digital networks, but their value is driven by the underlying, practical uses cases.”

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