Cantor Fitzgerald Plans Gold-Hedged Bitcoin Fund to Cushion Market Volatility
Las Vegas, May 30 – Wall Street investment bank Cantor Fitzgerald has announced plans for a new investment fund designed to offer exposure to Bitcoin’s upside potential while shielding investors from its notorious volatility — through a unique hedge tied to gold.
Unveiled Thursday at the Bitcoin 2025 Conference in Las Vegas, the innovative fund aims to deliver uncapped returns from Bitcoin while providing downside protection based on the price of gold. The product is structured as a five-year investment vehicle, appealing to both crypto-enthusiasts and risk-averse investors who remain cautious about Bitcoin’s sharp price swings.
“At Cantor, we’re focused on delivering innovative products that empower clients to participate in digital assets while managing risk,” said Brandon G. Lutnick, Chairman of Cantor Fitzgerald. “This is a groundbreaking investment vehicle — it allows investors to pursue Bitcoin’s growth potential with the safety net of gold.”
Addressing Concerns Over Bitcoin’s Volatility
The fund is designed to attract traditional investors who are interested in crypto but remain wary of its rapid price movements. By offering 1-to-1 downside protection tied to the value of gold, Cantor Fitzgerald hopes to bridge the gap between digital assets and traditional safe-haven investments.
“There are still people out there who are afraid of Bitcoin, and we want to welcome them into this ecosystem,” Lutnick said during his remarks at the conference. “This fund balances Bitcoin’s volatility with the time-tested stability of gold.”
The fund will be open to qualified investors in the coming weeks, the firm added.
Expanding Crypto Footprint: $2B Lending Initiative
The announcement comes on the heels of another major move by Cantor Fitzgerald — the launch of a $2 billion Bitcoin-backed lending initiative, with initial financing extended to crypto firms FalconX Ltd. and Maple Finance.
The lending platform is part of Cantor’s broader push into crypto markets, following a series of high-profile partnerships and product launches. In April, a Cantor affiliate joined forces with Tether Holdings and SoftBank Group to launch Twenty One Capital Inc., a Bitcoin accumulation fund.
This surge in crypto-backed lending comes amid a rebound in institutional interest after a rocky 2022, which saw the collapse of several crypto lenders, including Celsius and BlockFi.
“We’re seeing a new wave of lenders enter the space — much more institutional in nature,” said David Mercer, CEO of institutional trading platform LMAX Group, in a statement to Bloomberg. “More banks will join in, offering credit solutions to some of the biggest institutions trading these assets.”
As traditional finance continues to embrace digital assets, Cantor Fitzgerald’s gold-hedged Bitcoin fund signals a growing appetite for hybrid products that blend the old and the new — promising growth while mitigating risk.
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