Hedge fund management company Brevan Howard’s high-profile crypto vehicle suffered a painful reversal last year as investors punished a mix of liquid digital asset bets and venture-style holdings, according to the Financial Times.
Brevan Howard Digital Fund Sinks 30% In 2025 Reversal: FT
18 February 2026 - 17:40 CET
By Sandmark staff
The BH Digital Asset fund posted a roughly 29.5% loss in 2025 to mark its worst calendar year since launch, the FT reported.
A shift in fortunes
Launched with backing from co-founder Alan Howard, the fund had been one of the more successful institutional plays on crypto. It reportedly returned 43% in 2023 and 52% in 2024 before last year’s reversal.
It managed roughly $2.4bn in assets at the start of 2025 and mixes liquid directional positions in Bitcoin and other tokens with private venture-style commitments. These private positions underperformed in 2025 and amplified the drawdown versus spot Bitcoin.
The macro backdrop
The sell-off in digital assets last year and a subsequent sharp correction in early 2026 provide the immediate backdrop for Brevan Howard's reported result.
Bitcoin surged to a 5 Oct 2025 record above $125,000 but fell back through the period and is trading near the high $60,000s in mid-February. This leaves large, concentrated crypto exposures exposed to rapid mark-to-market losses.
The performance hit coincided with senior management churn, according to the FT. Gautam Sharma previously led the digital unit but left the firm in 2025. He was succeeded by Chris Rayner-Cook, a former trading and financing head at Coinbase, underscoring a wider recalibration of the team amid the drawdown.
