French boutique launches futures-based bitcoin fund

French start-up Napoléon Asset Management has launched its first bitcoin fund, investing in the cryptocurrency via listed futures.

The Paris-based group has unveiled the first of a planned range of cryptocurrency funds, with a view to launch strategies dedicated to other major currencies, including ethereum, litecoin and ripple among others.

The Napoleon Bitcoin fund is a specialised professional fund with daily liquidity under French law, however the group plans to register the fund across Europe for professional investors shortly.

This strategy is one of the first regulated vehicles in the world offering exposure to the performance of bitcoin, according to the boutique.

The fund aims to replicate the performance of bitcoin by investing in futures listed on the Chicago Mercantile Exchange in cash settlement. This allows the group to avoid problems of storing and valuing bitcoin. However, there are plans to transform this fund into a strategy that invests directly…