PwC together with the Alternative Investment Management Association (AIMA) released 2023 Global Crypto Hedge Fund Report.

The material is based on the results of two surveys: one from traditional hedge funds (those who may or may not invest in crypto-assets) and from crypto hedge funds (those who exclusively invest in crypto-assets).

Due to the collapse of a number of cryptocompanies in 2022 the number of traditional hedge funds investing in crypto-assets fell to 29% – down from 37% last year.  For the same reason, crypto hedge funds are demanding the following regulatory requirements of trading venues in order to reduce risk: asset separation (75%), mandatory financial audit (62%) and an independent report on reserve assets (60%).

Overall, despite the volatility and significant decline in the value of crypto-assets in 2022, traditional hedge funds do not plan to leave the industry, and crypto hedge funds remain popular among investors seeking to enter the crypto-asset market. In addition, both types of hedge funds demonstrate interest in tokenised assets and securities.