Cryptocurrency-focused hedge fund Galois Capital has decided to close after the events related to crypto exchange FTX, the Financial Times has learned.
The company co-founder Kevin Zhou has said in an internal letter:
“Given the severity of the situation with FTX, we do not think it is not appropriate to continue to manage the fund both financially and culturally. I am terribly sorry for the current situation we find ourselves in.”
The company management explained in a letter to investors that it could take “several years” to recover “a certain percentage” of the assets.
Zhou has explained:
“This entire tragic saga, from the collapse of LUNA to the crisis of 3AC and the collapse of FTX/Alameda, has certainly set the crypto space back significantly. However, even now I remain hopeful for the long-term future of cryptocurrency.”