It seems that several cryptocurrency hedge funds will be closing their doors this year. This is according to Anthony Pompliano, co-founder of Morgan Creek Digital. On a twitter thread, Pompliano wrote that several cryptocurrency hedge funds are going to shut down in the next 12 months. However, this is not because of the reason that most of us would think about. He starts the thread explaining how cryptocurrency hedge funds work and how they manage investors’ funds. Most of the time, these hedge funds trade actively and charge a small management fee & incentive fee.