Room40 Capital to Return Outside Funds and Shift to Macro Trading

Room40 Capital will return all outside investor funds and broaden its strategy from cryptocurrency and digital assets to macro trading, leaving it with its own capital and funds from one institutional partner.

The shift is driven by an asymmetric risk-reward profile and a shortage of attractive crypto opportunities. Room40 will continue managing its own capital and the institutional partner’s funds as it expands its investment scope.

Paul Yablon, a former portfolio manager at Moore Capital Management, pointed to a $6.3 billion hack at Binance as a sign of continuing security challenges in crypto. He said Room40 held no assets at Binance.