Earlier Wednesday, the Financial Times reported that Brevan Howard’s BH Digital Asset fund slumped about 30% in 2025, its worst annual decline since its launch in 2021, citing people familiar with the fund’s performance. Bitcoin, which accounts for about half the crypto market’s total value, ended down 6.5% last year following a fourth-quarter rout.
“Brevan Howard wasn’t sitting on IBIT as a long-only bet — it was likely the long leg of a cash-and-carry trade. With basis now closer to 3-4% instead of the double-digit levels we saw in 2025, the economics no longer justify warehousing spot. Moving into options is about capital efficiency and better risk-adjusted returns, not a change in view on of the asset class,” said James Harris, chief executive officer of digital asset management firm Tesseract.
