Key Takeaways
- •A $100 million market-neutral hedge fund has launched through a collaboration between Further Asset Management and 3iQ.
- •The fund includes a Bitcoin-denominated share class that reinvests returns directly into BTC.
- •Institutional crypto products are expanding, including Coinbase’s new Bitcoin Yield Fund targeting up to 8% annual returns.
A joint effort between UAE-based Further Asset Management and Canada’s 3iQ has created a $100 million hedge fund built specifically for institutions seeking controlled, risk-adjusted access to crypto markets.
Far from the directional bets often associated with digital assets, the new fund is structured more like a traditional alternatives product. It blends multiple trading strategies, avoids relying on broad market rallies, and channels its focus toward generating consistent returns from liquid crypto opportunities.
A Fund Shaped Around Institutional Requirements
Instead of starting with Bitcoin and building outward, the team behind the fund approached the problem from a traditional allocators’ perspective: compliance, risk oversight, liquidity, and operational due diligence. Only after passing those thresholds was the investment framework applied to crypto markets.
Further’s managing partner, Faisal Al Hammadi, said the project went through extensive institutional vetting before launch — something many large allocators require before participating in digital assets at scale.
Pascal St-Jean, the president and CEO of 3iQ, added that the product was engineered to let institutions pursue stronger returns without exposing balance sheets to the full volatility of crypto cycles.
A Bitcoin Share Class That Reinforces Long-Term Holdings
A defining feature of the fund is not its strategy but its structure. It includes a Bitcoin-denominated share class that allows qualified participants to subscribe and redeem in BTC rather than fiat. Gains are retained in Bitcoin, giving investors a mechanism to expand their long-term holdings while maintaining a hedge-fund-style risk profile.
The class launched with a sizeable in-kind Bitcoin contribution from a major Abu Dhabi family office — a sign that large regional investors are increasingly treating BTC as a strategic asset rather than a speculative one.
3iQ, which has spent more than a decade creating regulated digital asset vehicles for institutions, has been steadily expanding its infrastructure through its Digital Assets Managed Account Platform. Further operates across venture capital, structured financial products, and digital assets within UAE regulatory frameworks.
A Broader Shift: More Products Target Institutional Yield
The rollout of this fund comes amid a noticeable rise in institutional crypto products globally. Coinbase, for instance, recently announced a Bitcoin Yield Fund for non-U.S. investors — targeting 4% to 8% annual returns through a professionally managed structure.
That product has already attracted support from backers including Aspen Digital, an Abu Dhabi firm regulated by the Financial Services Regulatory Authority. Across the board, demand for structured, income-oriented crypto investments appears to be increasing.
Why These Products Are Appearing Now
As spot ETFs, custodial solutions, lending markets, and institutional-grade platforms mature, hedge-fund-style vehicles are emerging as the next logical layer. Allocators who once hesitated to enter the crypto space are now seeking products resembling the investment tools they already use in traditional markets.
The new Further x 3iQ fund represents this shift: it blends risk management, regulatory oversight, multi-strategy design and Bitcoin accumulation into a single offering, reflecting where the institutional crypto market is heading next.