Celebrating Two Years of a Crypto Odyssey

If it's true that volatility can be thought of as a proxy for time, then it’s no wonder why two years in crypto feels like a decade in traditional finance! Since we began our journey, launching the Firinne Liquid Digital Assets Fund in June 2022, we’ve weathered a complete market cycle – from exuberance to despair, to renewed optimism, and finally, a return to growth.

At times, it felt like we were at the mercy of capricious gods – facing seemingly arbitrary SEC enforcement actions, the disreputable and calamitous collapse of FTX, followed by a brutal and extended bear market. Yet, crypto always rewards the faithful and the strong of heart. We held steady on our course, enduring these misfortunes, and now sail in calmer seas, propelled by the fortuitous winds of a long-foretold Bitcoin ETF in the United States.

Through these trials, our conviction in the transformative power of blockchain technology never wavered. Even in the darkest moments, we saw the seeds of the next bull run being sown, evidenced by strategic moves from major institutional players like BlackRock. Our commitment to investing in high-quality projects has paid off, with institutional investors driving returns and legitimizing the space. I am happy to be able to say that we managed to deliver alpha in both the bear and bull markets, in excess of the market and net of all fees.

The shift in market sentiment is palpable. Retail investors, once burned, have been slower to return, leading to a more measured bull market. This dynamic has allowed for a more stable growth trajectory, devoid of the frothiness seen in previous cycles.

As we celebrate this milestone, we remain steadfast in our mission. Our journey through volatility has only strengthened our resolve, and we are excited about the opportunities that lie ahead. Thank you for your continued trust and support. Here's to another year of resilience, growth, and innovation in the ever-evolving world of crypto.

Ruairi Hanafin

Chief Investment Officer

Firinne Capital