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A hedge fund is just an elaborate name for a pooled investment fund that trades in relatively liquid

assets, considering portfolio construction and risk management techniques to improve performance.
So why are decentralized finances imperative to the hedge fund field? According to Mark Tencaten,
innovative leader and CEO of NGS Group, “emerging hedge funds do not stand a chance of making
substantial returns unless they are involved in the DeFi space.”

This is because the DeFi space is still relatively new and is considered to still be in the land grab
phase, so the chances of getting in early whilst the market is still growing, will give investors the best
chanceto take a piece of the current space and play on a relatively level playing field.

The Top 3 reasons why Hedge Funds need to get into DeFi

1. Infrastructure

DeFi is a considerably new space, and has only really been developed over the last few years. DeFi has
opened the financial space to include functions such as staking, yield farming, automated marker
makers (AMM), lending and flash loans. The most important foundation though is vaults, which is the
equivalent of a single fund or strategy that allows traditional hedge fund strategy builders to build an
investment strategy on a smart contract that is 100% decentralized.

2. Exponential Growth

Growth within the space has grown to more than $80B in total assets under management, according
to DeFi Pulse. Growth in adoption and investor focus are exponential with a clear upward trend from
current industry research finding that future institutional adoption of digital assets is on the rise.

3. Opportunity

The current systems within the traditional finance sector are already rebuilding their systems to
incorporate and heavily be involved within the DeFi space. DeFi has the potential to dethrone the role
of traditional banks in a very disruptive manner that is nothing short of revolutionary. What we are
seeing is a similarity to the dot com boom. In 2017, we saw a major shift in people’s perception of the
blockchain area, which has only helped people to see that they in fact do have power over the
Traditional banking system, something which we have never seen before, and the need for a third-
party financial intermediary is no longer needed to develop trust. Due to this, we are very much seeing
a generational divide, the younger generations are already in tune with digital currencies, and it has
already become the norm for them to do business in a decentralized system, rather than the
traditional methods and systems older generations are used to in a centralized one.

In the very near future we can expect to see hedge funds entering into the DeFi space, probably with
no other option unless they want to be left behind.

Mark Tencaten, NGS Group CEO and Founder has commented “what we are seeing is a space which
has a lot of room for major innovation and growth and we can only expect to see a future where we
can potentially see DeFi investment products being built by emerging hedge fund talents choosing to
develop strategies and products in the DeFi arena.”

Formed in 2013, NGS Group is a financial technology (Fintech) company, designed to help members
generate safe and consistent, high-returns on their investments; Helping them to build life-changing
wealth. Upon establishment, our goal was to give our members access to a new asset class in a way
that was free from volatility, secure, yet still produced a high return. Essentially, we set out to create
a product that could generate predictable, consistent returns - without risking our members initial
capital through speculation or investing in assets and merely 'hoping the market goes up'. In essence,
we wanted to create a product that offered our members the lowest amount or risk, with the highest
possible returns – that could withstand any market or global financial collapses or recessions. After
years of research & development globally, we began offering our products to consumers in Australia
in August of 2017 after getting approval from both ASIC (Australian Securities & Investment
Commission) and the ATO (Australian Taxation Office).

Simply put, as Digital Asset Miners, we help facilitate thousands of blockchain transactions around the
world every single day. Every time someone wishes to make to make a transaction (i.e. to buy
something or send money), miners like us help to facilitate this transaction and are paid a small 'service
fee' to do so. The common analogy we use here, is like that of a bank ATM. We buy, own and manage
the machine, and every time someone uses our machines, we make a small fee from the transaction.
Multiplying this analogy by thousands of machines, and millions of transactions, this is the simplest
way to understand how we generate returns for our members. As of 2021 NGS has helped over 750
member’s world-wide get involved in Digital Assets, with countless success stories of helping them
to create life-changing wealth. With a proven track record of never paying out a member less than
the minimum advertised return, 5 offices world-wide (including 2 in Australia), and 100 staff
members internationally, NGS Group have established themselves as Australia's leaders in Digital
Asset Mining company.

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