Valkyrie Digital Assets LLC, the sponsor of the Valkyrie Bitcoin Trust and the Valkyrie Polkadot Trust, announced today the launch of its third investment vehicle, the Valkyrie Algorand Trust.
The Valkyrie Algorand Trust is the first investment vehicle at Valkyrie to invest solely in Algorand (ALGO), the digital asset that powers the Algorand Network. The primary investment objective of the Valkyrie Algorand Trust is to reflect the value of ALGO held within, to offer investors access and exposure to the cryptocurrency in an insurable, cost-effective manner. The secondary objective of the Trust is to aim to provide a target annualized yield of four to six percent, in addition to the total returns of ALGO.
“Algorand is a rapidly growing, innovative blockchain network with a number of significant projects being built on it,” said Valkyrie Investments CEO Leah Wald. “We couldn’t be more excited to offer this Trust, and are doing so in response to significant demand from the investors we speak to on a weekly basis.”
In addition to providing exposure to ALGO, the Valkyrie Algorand Trust will seek to generate income in the crypto asset by leasing the rights to use ALGO held within to participate in the Algorand Network staking consensus mechanism (“ALGO Staking”). The Valkyrie Algorand Trust is open to accredited investors only, with a minimum investment of $25,000. Valkyrie charges a management fee of two percent to oversee the Trust. Redemptions are available daily. The Valkyrie Algorand Trust may be IRA eligible from certain providers.
Algorand’s advanced technology is powering the future of finance as traditional and decentralized models converge into a unified system that is inclusive, frictionless and secure. The brainchild of Turing Award-winning cryptographer Silvio Micali, Algorand’s blockchain infrastructure provides the interoperability and capacity required for defi, financial institutions and governments to smoothly transition to the new digital economy.
“Valkyrie is at the forefront of digital asset offerings and we are excited they are expanding participation opportunities for those who want to be a part of the growing Algorand ecosystem,” said W. Sean Ford, COO at Algorand. “They have created a unique offering and are proving their commitment to supporting a wide universe of digital assets.”
Used by more than 700 organizations around the world, Algorand is enabling the simple creation of leading-edge financial products, services and exchange of value.