Wave Financial LLC (Wave), the Investment Advisor for digital assets, announced the launch of its latest innovative fund offering today. The Wave NFT Fund (otherwise known as the Non Fungible Fund, or “NFF”) seeks to invest in NFT’s, protocols, and platforms. This includes elements of the quickly emerging metaverse with gaming, sports and generative art being the focus. The launch of the Fund comes on the heels of recent and significant growth in the NFT market: in Q1 2021, more than $2 billion traded in NFTs, which is 131 times the volume of Q1 2020. If the current trend continues, the market may grow to more than $500 billion by 2030.
“Investing in individual NFTs is highly appealing to many collectors, including myself,” says Les Borsai, co-founder and Chief Strategy Officer of Wave. “As the NFT market continues to become more mainstream and see new entrants, we are launching an NFT fund to allow investors the opportunity to go beyond collecting. I believe we are on the forefront of the biggest disruption the art world has ever seen. There are multifaceted technology components of these items that are extremely impactful.”
Wave Financial will evaluate NFTs with a blended approach using tried and true financial analytics while keeping the creators’ talent, value, and connection to the community a priority. The Fund may use machine learning to formulate pricing and valuation models for NFTs by studying the transaction data off the blockchain. Through these models, the Fund believes it can figure out the value of rare traits over time and the main drivers of value for an NFT.
“Our proprietary approach to selecting NFTs to hold within the Fund offers our investors exposure to art and collectibles of real value in a way that has never been done before,” added Borsai, noting that he believes the adoption of the NFTs is the most exciting factor to hit cryptocurrency since the explosion of DeFi. Since collecting art and sports memorabilia has been a widely loved and longstanding activity, he predicts that the popularity of NFTs will grow even more as the underlying technology becomes more accessible to a broader audience.
Wave Financial launched the NFF based on recognition of the technological merits of NFTs, aiming to bring that value to its investors while removing some of the barriers to entry for part-time collectors as the NFT market faces rapid changes.
The Fund will generally allocate its assets in a 70/30 split across collectibles and platforms/protocols. Investments may also take a broad variety of forms and may include, without limitation, a portfolio of cryptocurrencies. The Fund may engage in staking and lending activities unsecured or collateralized by digital assets.
To learn more about the Wave NFT Master Fund Ltd., please contact firstname.lastname@example.org