01 / Digital Assets
We own the asset, not a claim on it.
We buy the asset itself, never a leveraged claim on it — and we are prepared to hold it through the volatility that comes with the class.
Owned outright, no leverage
A leveraged position can be closed out by volatility alone: you can be right about an asset and still be forced out on the way there. Spot cannot be liquidated. Being able to sit through a drawdown rather than being removed from it is, in this asset class, the edge itself.
Long swings, not day trades
Positions are measured in months. Crypto punishes short horizons and forced exits, so the horizon is set to match the volatility rather than to fight it.
Narrative and adoption research
We form a view on where attention, developers and capital are rotating, and which themes are likely to draw flows before they become consensus. Relationships across the ecosystem inform that diligence — they sharpen the research, they do not replace it.
No attachment to positions
We do not marry projects. A project that misses its targets, breaks its commitments or fails to deliver on the thesis is cut or sold down. Conviction is a reason to enter a position; it is never a reason to stay in one.
What we avoidLeverage. Lending the assets out for yield. Positions we could not exit at size.
Market Structure
How this market actually sets a price
Price formation in digital assets is dominated by borrowed money rather than by the people who own the asset. That single fact shapes how the market falls, and therefore where an unleveraged buyer has an advantage.
Derivatives dwarf spot
Derivatives traded roughly 9.6 times spot volume in Q1 2026 (Amberdata). Most of the price on the screen is being set by positions that can be closed involuntarily — which is a very different thing from a market of owners.
Forced sellers set the lows
When leverage unwinds, the marginal seller is not choosing to sell; a margin engine is selling for them. Those prints are not a considered valuation, and they are the prices at which capital that cannot be forced out is able to act.
The buyer base has changed
Spot ETFs have grown to roughly a quarter of global bitcoin volume, with assets concentrated in a handful of issuers (Amberdata, 2026). Allocation now arrives on institutional review cycles rather than on retail impulse, which changes both the timing and the persistence of flows.
Supply is a published calendar
Emissions and unlock schedules are disclosed in advance. Future supply is knowable in this asset class in a way it rarely is elsewhere; the open question is only whether the market has priced it yet.
Where we sit in it
Our fundamental work concentrates on the two sides that are genuinely knowable — the supply calendar, and where mandated capital is actually permitted to go — and on the distance between them. Holding spot is what converts that research into a position we can keep: when leverage is the forced seller, being unable to be forced out is what allows us to be the buyer.
Market data as at Q2 2026. Sources noted inline.