Strategic Investment: Point72 and ExodusPoint Capital Management Invest $1.5 Billion in Alt5 Sigma Deal
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2 min read
Title: Point72 and ExodusPoint Invest $1.5 Billion in Alt5 Sigma Deal
Date Published: August 20, 2025
In a significant development, hedge funds Point72 Asset Management and ExodusPoint Capital Management have announced a massive investment of $1.5 billion in crypto infrastructure company Alt5 Sigma. This move marks the entry of Wall Street into the regulated crypto brokerage space.
Alt5 Sigma has been operating as a biotech-turned-crypto payments firm since its inception in 2018. The company’s operations include OTC trading through ALT5 Prime, custody solutions, fiat on-off ramps for Bitcoin, Ethereum, and Solana, and other digital assets. Notably, the company has processed over $5 billion in transactions, which highlights both operational efficiency and demand for their services.
In a move that signals institutional investors’ increasing interest in infrastructure-oriented projects, Point72 Asset Management has disclosed a 4% stake in Alt5 Sigma, valued at approximately $26.7 million. ExodusPoint Capital Management also joined forces with Point72 in this investment, albeit with a slightly smaller position.
The influx of capital and institutional endorsements will allow the company to expand its operations further, allocating funds for treasury reserves, debt management, litigation settlements, and operational growth. Notably, Alt5 Sigma’s capital structure has been bolstered by this massive investment, which paves the way for Wall Street’s strategic foothold in digital brokerage.
As the industry becomes more mature, institutional investors are now more inclined to back regulated blockchain services rather than risky or speculative crypto tokens. The deal highlights that hedge funds are no longer averse to exploring infrastructure opportunities, as Alt5 Sigma’s integration with the crypto sector is an example of these funds’ efforts to create long-term value.
As cryptocurrency markets remain volatile, institutional investors are focusing on bridging the gap between traditional finance and compliant digital trading systems.
Source: cryptotale.org
