Too Long; Didn't Read
Hedge funds, in particular, have avoided betting on cryptocurrency and the situation has prompted questions from many. Why do hedge-fund managers refrain from investing in bitcoin and other cryptocurrencies? There’s no single answer to this question, but a group of factors entwined with each other. Due to high volatility, hedge fund managers shy away from bitcoin because they’re gauging risk. Because of their decentralized nature, cryptocurrencies are famous for having little or no regulations. Lack of firm regulations means no insurance or coverage if something goes wrong and your cryptocurrency goes missing.