Q2 2022 Report - Legacy

This is an old format for updates to investors.  Please keep in mind the original audience and know that The Fund is mentioned and our operations.  The specific mention of our business is not the norm for The Professional Investor Report.  This update is being provided for archive purposes.

Disclaimer:
This website and the information contained herein does not constitute an offer to sell interests and is not an offer or solicitation of an offer in respect of an investment in the fund managed by DeMaddalena Capital, LLC and should not be construed as an offer of any kind or the solicitation of an offer to buy interests in the Fund in any state or jurisdiction to any person to whom it is unlawful to make such offer or solicitation. All prospective investors should carefully consider the Fund’s investment objectives, risks, and fees and expenses carefully before investing. This and other very important information can be found in the Fund’s private placement memorandum. Prospective investors are encouraged to consult with their independent professional advisors in assessing the risks and merits of investing in the Fund. Past performance is not indicative of future results. Any historical returns, expected returns, or probability projections may not reflect actual future performance. An investment in the Fund involves substantial risks that may result in a partial or total loss of your investment.

TL;DR (Too Long; Didn’t Read)

• Bitcoin correlation with the public equity market increased
• Inflation, portfolios de-risking, and more inflation drove equities down
• Bitcoin followed this downward trend
• A handful of prominent institutional players faced liquidity problems due to poor risk management
• Yield rates have slightly increased

Market Update

Supply Side

The trends from our Q1 update have continued and show no signs of slowing down.  This reinforces our thesis that a significant number of market participants do not care about price, will continue to accumulate regardless of price and will continue to remove coins from circulation.  This same cohort (or a very similar cohort) realizes that depressed prices are an opportunity, representing a long-term bullish outlook.