{"id":22396,"date":"2025-04-16T15:17:08","date_gmt":"2025-04-16T15:17:08","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=22396"},"modified":"2025-04-16T15:17:08","modified_gmt":"2025-04-16T15:17:08","slug":"neutrl-raises-5m-to-tokenize-a-popular-hedge-fund-altcoin-trade","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=22396","title":{"rendered":"Neutrl Raises $5M to Tokenize a Popular Hedge Fund Altcoin Trade"},"content":{"rendered":"
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Novel decentralized finance (DeFi) protocol Neutrl aims to bring a hedge fund trade \u2014 once limited to sophisticated investors \u2014 to the masses in the form of a crypto token.<\/p>\n<\/p>\n

The protocol is launching its NUSD “synthetic dollar” token, designed to generate returns by arbitraging discounted altcoin deals in over-the-counter (OTC) markets, the team told CoinDesk in an exclusive interview.<\/p>\n<\/p>\n

Neutral also raised $5 million in seed funding led by digital asset private marketplace STIX and venture firm Accomplice. They were joined by Amber Group, SCB Limited, Figment Capital and Nascent alongside a range of crypto angel investors including Ethena founder Guy Young and derivatives trader Joshua Lim of Arbelos Markets, recently acquired by FalconX.<\/p>\n

Tokenized hedge fund strategy<\/h3>\n<\/p>\n

Neutrl is the latest entrant to the rapidly growing roster of protocols that offer hedge fund-like investment strategies wrapped into a token with a stable price, often called “synthetic dollar.” $6 billion DeFi protocol Ethena spearheaded the trend, offering yield to token holders via holding spot cryptos and shorting perpetual futures, farming the funding rate.<\/p>\n<\/p>\n

Read more: Resolv Labs Raises $10M as Crypto Investor Appetite for Yield-Bearing Stablecoins Soars<\/a><\/p>\n<\/p>\n

Neutrl\u2019s structure is built around buying locked altcoins at discounts in private markets, then hedging exposure with perpetual futures. For example, a trader might acquire Solana’s SOL or Avalanche’s AVAX at a 20% discount from a foundation and simultaneously open a short position for the token. The return comes from the price gap, not market movement.<\/p>\n<\/p>\n

This is a popular hedge fund investment strategy producing high double-digit yields to sophisticated investors who don’t want to take directional bets on crypto prices, Neutrl co-founder Behrin Naidoo explained in an interview.<\/p>\n<\/p>\n

But, instead of managing these trades manually, Neutral users can hold a single token\u2014NUSD\u2014that encapsulates the strategy, opening access to a broader set of investors, he said.<\/p>\n<\/p>\n

With a flood of altcoin unlocks over the next few years, Neutral estimates that there’s a $10 billion market for locked up tokens. This offers an attractive yield opportunity for investors, especially now when crypto yields in decentralized finance compressed to multi-year lows, Naidoo said.<\/p>\n<\/p>\n

Neutrl is targeting to grow to $2 billion in assets in the two years, he added.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Novel decentralized finance (DeFi) protocol Neutrl aims to bring a hedge fund trade \u2014 once limited to sophisticated investors \u2014 to the masses in the form of a crypto token. The protocol is launching its NUSD “synthetic dollar” token, designed to generate returns by arbitraging discounted altcoin deals in over-the-counter (OTC) markets, the team told […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-22396","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/22396","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=22396"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/22396\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=22396"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=22396"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=22396"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}