One of the oldest banks in the United States, Wells Fargo, has registered a new, pooled investment fund that offers its wealthy clients indirect exposure to Bitcoin (BTC). Along with retail, Institutional interest in the leading cryptocurrency has also increased many times this year. Several major US banks have shown interest in bitcoin this year as many moved forward to offer crypto custody services.
Wells Fargo files “Notice of Exempt Offering of Securities” with US SEC.
Fargo’s filing of a “Notice of Exempt Offering of Securities” with the United States Securities Exchange Commission (SEC) reveals that the fund is called “FS NYDIG BITCOIN FUND I,” reflecting the fact that it is being incorporated as a limited partnership with investment services company NYDIG and alternative assets manager FS Investments. The notice indicates that Wells Fargo Clearing Services will receive placement and servicing fees for all clients it refers to the fund. It also shows that the fund’s first sale is yet to occur and that the banking giant expects the offering to last more than one year.
Stone Ridge Asset Management owns NYDIG.
NYDIG (New York Digital Investment Group) is owned by Stone Ridge Asset Management, which has pursued a Bitcoin-focused investment strategy through indirect exposure and making direct Bitcoin purchases via NYDIG. NYDIG has also partnered with another banking giant JPMorgan Chase on a new Bitcoin fund this summer – just one of the megabank’s six crypto funds through which it has been offering crypto exposure to its various clients. Wells Fargo’s move towards crypto reflects the cryptocurrency’s growing popularity on Wall Street, drawing in the likes of Goldman Sachs, BNY Mellon, JPMorgan Chase, and Morgan Stanley.