Digital asset management provider xalts has secured $6m investment from Citi’ venture capital investing arm and venture capital firm Accel.
Sandeep Nailwal, co-founder of crypto platform Polygon, and other hedge fund managers also made investments in xalts.
xalts was set up early this year by former HSBC trader and the firm’s chief investment officer (CIO) Ashutosh Goel and ex-Meta Asia executive and the company’s chief operating officer (COO) Supreet Kaur.
The investment management and technology platform promotes participation of institutional investors in the crypto ecosystem.
Goel said: “What came to the forefront this past summer in several large crypto firms was a lack of basic controls, checks and balances which most of us take for granted in the financial industry.
“With xalts, we are building innovative, institutional-grade investment products and solutions which focus on high compliance and control standards—things institutional investors care about.
“The next leg of growth in digital assets will be driven by institutional participation in the asset class. We are starting to see the early signs of that with a lot of new initiatives coming from banks and asset managers.”
xalts plans to roll out fund solutions that are driven by various digital assets such as mutual funds and exchange-traded funds (ETFs) listed on exchanges across the globe.
Kaur said: “Apart from investors, we are also seeing a lot of interest from fund managers and issuers to use our platform to launch structured and fund products for their clients.
“We expect to build a team of 30 by the end of this year across our offices in Hong Kong, Singapore, Dubai and Geneva.”