San Francisco-based cryptocurrency asset manager Bitwise has announced the launch of a new fund focused on Polygon, an initiative that will promote the widespread adoption of the Ethereum-based scaling solution’s native token MATIC.
The fund, dubbed Bitwise Polygon Fund, will give investors exposure to MATIC using a professionally managed investment vehicle, Bitwise noted in an announcement today.
According to the asset manager, the move to launch an exclusive fund for Polygon is because of the groundbreaking achievements the network has made since its inception.
The milestones achieved by Polygon so far have attracted significant interest from people seeking to build and invest in the project.
“With the new Bitwise Polygon Fund launching today, we’re excited to continue helping investors gain access to the expanding set of opportunities emerging in crypto,” Matt Hougan, Chief Investment Officer at Bitwise, said.
Per the announcement, the Polygon fund will be made available only to accredited investors, who would be eligible for a private placement subscription of at least $10,000.
Bitwise, which surpassed $100 million in assets under management (AUM) last year, said it had chosen popular cryptocurrency exchange Coinbase to act as the custodial of the fund.
The asset manager also hinted that it may opt for a public quote for the fund in the future.
Polygon’s Success in DeFi and NFT
One of the reasons Polygon was established is to provide solutions to some of the challenges associated with Ethereum, including high transaction costs and severe network congestion.
Several blockchain networks like Polygon have made light of these issues as people can now conduct DeFi and NFT-related activities at a relatively low cost and at a faster pace.
Earlier this year, the Ethereum scaling platform recently declared its support for the development of NFT projects by announcing the launch of Polygon Studios.
These feats are prompting many investors to indicate interest in using the network to build decentralized applications (dApps), with Bitwise suggesting that over 1,000 developers have already tapped Polygon for these purposes.