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The Value In Cryptocurrency Explained By A Crypto Hedge Fund CIOA hedge fund that invests in cryptocurrencies. Like regular hedge funds, crypto hedge funds not only buy and sell cryptos, but they also invest in crypto. Crypto hedge funds, created to navigate the complexities of cryptocurrency investments, pool funds from various investors to strategically trade. Unlike a cryptocurrency index fund, an ETF, or an exchange, a hedge fund is a different way for a person to invest in a large group of underlying securities.