What It's Like Being CIO of a Crypto Fund

Jeff Dorman, partner at crypto asset management firm Arca Funds, spent 18 years on Wall Street and in fintech before turning his focus to developing crypto asset strategies and products.

After 365 days running a crypto fund, one thing is certain: it's exhausting.

Starting a crypto fund is a lot like trying to build Uber while the car is being invented.

Running a crypto fund is an all-encompassing 24/7 job, and there are no shortcuts when trying to build long-lasting client trust.

So how do you build the same caliber team when the median assets under management for crypto funds is under $5 million?

Perhaps the most startling and time-consuming aspect is managing the sheer volume of service providers, which dwarfs the number of funds in crypto.

My job as CIO is to help these firms build the best solution, but also to wait until they solve a need for my fund and my investors before moving forward.

Would you look to your mechanic to manage your automobile stocks? Does your doctor manage your healthcare stocks? In the same vein, your developer shouldn't manage your crypto assets.

While I wish I had learned to program at age 12 because it would have made my adult life easier, at the same time, I don't believe it would make me a better crypto fund manager.

Once those roles and differentiations are established, managing a crypto fund is no different than managing an equity, fixed income or managed futures fund.