Company Vision
Market Opportunity
Many retail, high net worth and institutional investors are seeking exposure in the cryptocurrency or digital currency space as part of their alternative investment strategy. Investors are also seeking above market returns, defined as above the S&P 500 yield of 10.22% (3-year Total Return Annualized), 1-Year Total Return 27.03% as of Dec 24, 2024. The opportunity to achieve above this benchmark continues in the digital asset space. Yet, investors primarily receive either capital gains via BTC or income via staking in other coins, i.e., Ethereum or ETH. The option to receive passive income in BTC is basically nil. In addition investors are seeking another alternative to either purchasing public listing mining firms or purchasing contracts with start-up or established miners.
After a successful POC, (proof of concept) of our mining model from 2019-2022 in the Republic of Kazakhstan, we decided to create an alternative investment fund to permit high net worth and institutional investors an opportunity to receive BTC in a licensed investment product within a share structure. After reviewing various jurisdictional options, we elected to choose the BVI, (British Virgin Islands) due to its legal structure and flexibility. Accredited global, (subject to regulatory requirements) and US investors have the opportunity to invest in the off-shore fund. The fund will file a US SEC’s Reg D which permits US accredited investors the opportunity to participate in a private placement of shares not offered to the general public. We may elect to list a subsequent fund in the US for institutional or retail investors or a feeder fund for tax purposes in the near future. The opportunity to invest in a new asset class allows investors to receive passive income in what otherwise was previously an unregulated and unstructured asset class.
Our investors will receive 80% of the net profit in BTC. The fund receives 20% of net profit with no management fee at this time. The opportunity to have separate “wallets” at the custodian, whether institutional or accredited high net worth investor allows for further diversification and efficient and quick remittance.
Transparency
Many developers and technical people are elated in the fact that digital currencies and BTC are semi-anonymous and have light or non-existent regulations. At first, we believed it as well. After observing first-hand many “bad actors” and fraudulent participants in the space, we have come to realize the benefits of running a “tight ship.” In order to attract and retain investors, an adequate infrastructure with checks and balances, i.e., custodian, and administrator are necessary. In addition, a “chain analysis” firm adds additional support and comfort to investors. As such, one party or bad actor cannot manipulate funds, steal, or cause malfeasance at VDIF without being scrutinized, caught, and dealt with appropriately. These ongoing transparency checks and balances ensure that institutional and high net worth investors are provided with exposure to the digital asset class without being exposed to the fraudulent and malicious nature of some of its participants.
Dollar Cost Averaging
Many investors in equities frequently purchase shares on a monthly or set-time schedule. This basic investment technique of dollar cost averaging allows investors’ returns to “smooth” out over time and allow them to take advantage of bull and bear markets and various market cycles. BTC and cryptocurrencies have a history of extreme bull and bear cycles since their creation. In order to take advantage of the volatility of BTC, investors obtain BTC at different daily dollar or “fiat” amounts thus smoothing out their investment exposure to BTC. While investors increase their exposure to BTC, they will receive income at various dollar equivalent amounts. If investors elect to receive fiat, i.e., USD they will receive different amounts over time. In this way, they will be able to take advantage of the various prices of BTC during their investment lifespan rather than to try and predict when to enter or exit their position.