Cypherpunk invests $630k in crypto arbitrage fund run by Lucy Labs TORONTO, ONTARIO, March 22, 2022. Cypherpunk Holdings Inc. (CSE: HODL, OTC: CYFRF) (“Cypherpunk” or, the "Company"), a sector leader for blockchain, metaverse, privacy and cryptography focused investments, is pleased to announce an investment of $630k (USD $500k) in cryptocurrency arbitrage fund Lucy Labs Flagship Offshore Fund SPC, managed by Lucy Labs GP LLC (“Lucy Labs”). About Lucy Labs Lucy Labs is a multi-strategy cryptocurrency asset management firm focused on developing and applying quantitative and fundamental trading strategies in major spot, lending, and futures cryptocurrency markets.
Lucy Labs manages a range of quantitative strategies exploiting momentum and carry factors, targeting moderate to aggressive returns while maintaining rigorous risk management and strategy-specific structures to reduce the volatility (inherent in the cryptocurrency markets). The firm also acts as a market maker and liquidity provider in both centralized and decentralized exchanges.
Cypherpunk Holdings CEO Jeff Gao has led the move to diversify the Company’s treasury management away from passive storage and made the following comments in relation to the partnership with Lucy Labs:
“Passive storage of crypto is fast becoming a thing of the past. Those investors who continue to seek exposure to bitcoin via proxies have a plethora of ETFs and listed names to choose from. That is not what Cypherhpunk is about. We offer our investors the opportunity to benefit from crypto from the lens of prudent risk management. The essence of our risk management framework is expressed through our OTC operations as well as through the performance of our strategic partners. We saw in Lucy Labs a product that provided a low volatility income stream and whose performance was largely uncorrelated with our other strategies. Their onboarding comes off the tail of an extensive due diligence process that began in Q3 2021.”
“Crypto volatility continues to bear fruit for skilled operators in this space and the opportunity to blend derivatives with our treasury holdings allows us to construct higher return profiles with similar or lower levels of risk compared to the status quo. For more sophisticated executions, we have partnered with the likes of Lucy Labs to help us construct those desired risk-return profiles. Our journey in this space has just begun. We plan to bring on additional partners with extensive trading and crypto markets experience to help execute directionally neutral strategies across a range of exchanges and instruments. Watch this space closely as Cypherpunk undergoes a pivotal transformation.”
About Cypherpunk Holdings Inc.
Cypherpunk was established to invest in currencies, companies, technologies and protocols, which enhance or protect privacy. Its strategy is to make targeted investments in businesses and assets with strong privacy attributes, often within the blockchain ecosystem, including select cryptocurrencies. Current equity investments include Bitcoin, Ethereum, Samourai Wallet, Wasabi Wallet, Chia, NGRAVE, and Animoca Brands.
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| Officer/Director Contact: | Investor Relations Contact: | | Jeffrey Gao | Veronika Oswald | | Chief Executive Officer | Investor Relations | | jeff@cypherpunkholdings.com | veronika@cypherpunkholdings.com | | Office: 1-647-946-1300 | Office: 1-647-946-1300 | |