Fund boss puts $1bn on crypto

HEDGE fund billionaire Alan Howard has raised $1bn (£820m) to invest in cryptocurrency, despite the sharp downturn in the digital coin market.

Mr Howard, the cofounder of investment firm Brevan Howard and a large Conservative party donor, has successfully raised funds from institutional investors.

The billionaire made his name as co-founder of Jersey-based Brevan Howard, which manages over $20bn.

The asset manager launched its cryptocurrency division, BH Digital, last year. Its first fund has since secured $1bn from institutional investors, the website Blockworks reported. Brevan Howard did not respond to a request for comment.

Mr Howard has spearheaded his firm’s push into digital assets in recent years.

Company filings for Brevan Howard Asset Manage- ment published this year show Mr Howard earned more than £55m thanks to a series of investments made during the pandemic.

The crypto fundraising comes despite prices tumbling this year and the collapse of several digital coin focused investment firms. Bitcoin has fallen 45pc this year to $23,000. It peaked at about $65,000 in 2021.

Two major cryptocurrency hedge funds, Three Arrows Capital and Voyager, have collapsed as a result of declining prices.

Some mainstream companies have also gone cold on cryptocurrency. Tesla, which had bought $1.5bn in Bitcoin in 2021, sold down 75pc of its stake in July.