April 21, 2024

SkyBridge Capital stops redemption of investment units of Legion Strategies fund

Article Reading Time:
1 min.

SkyBridge Capital Stops Redemption of Legion Strategies Investment Units

The negative consequences of the fall in the cryptocurrency and stock markets forced the founder of the hedge fund SkyBridge Capital to take forced measures.

Anthony Scaramucci saidon the temporary suspension of payments on shares of the Legion Strategies fund. The decision is due to the fact that more than 20% of Legion’s portfolio consists of shares of private companies, which have become illiquid in the current market situation.

The situation was not helped by the fact that part of the fundsLegion's shareholders, through third-party funds managed by SkyBridge, invested in basic crypto assets: bitcoin and ether. In total, about a quarter of Legion's net assets were invested in such funds, and the total amount of funds transferred under the management of SkyBridge amounted to about $230 million. The company has already informed clients about plans to resume payments on Legion fund units at the end of September.

Recently, SkyBridge Capital founder Anthony Scaramucci shared
opinion on the current bearish trend in the market, recommending that investors continue to buy Bitcoin and remain calm.

Cryptocurrency exchange Coinbase reported
on the termination of payments and the “temporary closure” of the affiliate program to attract new users in the United States to reduce operating costs amid the ongoing crypto winter.