ACE Beats Bitcoin Rally After Beating Downturn

ACE Digital's treasury strategy has outperformed bitcoin on its way up after beating it during the downturn in the first half of the year. The company's holdings rose from 1.55 bitcoin at the end of June to 7.1 bitcoin, with most of the increase coming from the settlement of derivative positions.

The active treasury strategy lost NOK 10.75 million, which was NOK 8.84 million smaller than a passive holding of 65 bitcoin would have lost during that period. ACE Digital's net cash flow for the half was negative by NOK 19.3 million, while its operating loss was NOK 14.8 million.

ACE Funds fell 13 per cent in dollar terms during the first half, compared with a 33.3 per cent decline for bitcoin. The fund outperformed bitcoin by around 20 percentage points during that period and is up 15.8 per cent since inception, while bitcoin was down 29.5 per cent in dollar terms.