Two Prime, a digital asset investment firm and SEC-registered advisor, has been selected by Digital Wealth Partners to manage $250 million in bitcoin (BTC) on behalf of its clients. The partnership underscores a shift in institutional crypto adoption, moving beyond simple exposure toward active, risk-managed strategies.
The funds will be managed via a separately managed account (SMA) structure. This approach allows Digital Wealth Partners a wealth advisory firm focused on integrating digital assets with traditional finance to leverage Two Prime’s specialized derivative strategies. These strategies are designed to generate yield and mitigate downside risk, distinct from a passive “buy and hold” approach.
Two Prime, which specializes in institutional-grade crypto exposure, utilizes hedging and options strategies to smooth out volatility for wealth management clients. The mandate from Digital Wealth Partners signals growing demand from high-net-worth investors for sophisticated management of their crypto allocations, mirroring the standards of traditional asset classes.
“Investors are increasingly seeking not just bitcoin exposure, but professional strategies that integrate risk management,” Two Prime executives noted regarding the deal.