Crypto Bull Mike Novogratz Calls Bitcoin Plunge a ‘Liquidation Event,’ Feels Like Capitulation (CNBC)
Mike Novogratz, a major cryptocurrency investor, told CNBC on Wednesday that the breakdown in bitcoin won’t be fixed quickly. The Galaxy Digital founder said on “Squawk Box” that bitcoin’s morning plunge feels like capitulation. Novogratz also called it a “liquidation event,” as bitcoin overnight fell below $40,000 for the first time in 14 weeks and then dropped to below $31,000 at the morning’s low. That put it down more than 25% in the past 24 hours alone. That’s also a decline of more than 50% from last month’s all-time high near $65,000.
GSR Appoints Hedge Fund Veteran Jon Loflin as Chief Risk Officer (Opalesque)
Opalesque Industry Update – GSR, a global leader in digital asset trading, has appointed hedge fund veteran and AI / machine-learning expert Jon Loflin as Chief Risk Officer & Managing Director. Loflin’s team will be tasked with developing the next iteration of the firm’s risk management framework, with a focus on utilizing cutting-edge technologies to evaluate pre-trade, real-time and post-trade risk. GSR’s latest addition comes as the company continues to enhance the sophistication of the programmatic strategies that underlie its market-making and trading operations.
News Guild Protests Takeovers by Alden Hedge Fund – ‘the Destroyer of Newspapers’ (Peoples World)
CHICAGO (PAI)—Mass rallies organized by the News Guild in Chicago, Orlando, Virginia Beach, Annapolis, Md., and Hartford, Conn., demanded the Tribune Company’s board reject a $630 million takeover by vulture hedge fund Alden Global Capital. Demanding “Save Our Sun” in Maryland, “Save Our Courant” in Hartford, and so on, thousands of people told the Tribune Company board that Alden’s aims are to rip off and rip up local papers, fire staffers, slash coverage, sell off real estate, and then close the papers and walk away with the cash.
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PE Firm Steps Into Lending (Hedge Nordic)
Stockholm (HedgeNordic) – Copenhagen-based private equity firm Polaris is now becoming a lender through the launch of Polaris Flexible Capital. Established with its own investment team, independent investment committee and Investment Advisory Board, Polaris Flexible Capital will make investments in subordinated loan capital such as junior capital and minority shareholdings of Nordic medium-sized companies.
The Hedge Fund that Lost More than 50% in a Single Month Betting Against GameStop Closed out of its Public Short Positions in the 1st Quarter (Business Insider)
Melvin Capital closed out of all its public short positions in the first quarter following a battle earlier this year with GameStop enthusiasts who drove up the share price and caused major losses for short-sellers. According to a filing submitted to the Securities and Exchange Commission, the New York-based hedge fund exited all of its put options – meaning its bets against certain stocks – in the first three months of the year.
Post-Archegos Hedge Fund Financing Faces Close Scrutiny by BOE (Bloomberg)
The Bank of England is considering closer scrutiny of the work banks carry out for hedge funds after the meltdown of Archegos Capital Management exposed gaps in oversight. Banks’ prime brokerage desks, which trade on behalf of large clients such as hedge funds, need to be able to cover losses in good times and bad and should be a “low-risk business,” said Jon Hall, external member of the BOE’s Financial Policy Committee.
