It’s been almost a decade since we last heard from Bo Collins. At the time, he was closing his second hedge fund in two years: The former NYMEX president’s energy fund MotherRock imploded in 2006 under $230 million in losses caused by another soon-to-be-late energy hedge fund, Amaranth Advisors; two years later, it was MotherRock successor’s 1.618 Group’s turn when RBC Capital Markets decided it would like its $33.2 million back. But rather than go for the hat trick, Bo Collins went home, to the family farm in Farmersville (really) for a little soul-searching and study and non-money-losing.
It was there late one night that Collins found himself falling down an internet rabbit hole. This rabbit hole was called “bitcoin.” And just like that, Bo Collins was back.
Now Mr. Collins, known as “Bo,” is making a big bet on something that makes commodity trading look almost tame: the roaring market for bitcoin and other cryptocurrencies….
“Virtual currency for me is a deep passion,” he said. “We’re just now beginning to turn it into a business.”
Make no mistake: This is a major change for Collins, who has spent the first 25 years of his career dealing almost exclusively in energy, although he’s quick to reassure investors that he’s really returning to a love for technology and electronics that he gave up after his management training program at the Dallas Fed. In any event, one need only look to the name of the new venture to see that this is as pure a Bo Collins venture as its predecessors.
Next month, Mr. Collins plans to open up to outside investors his new cryptocurrency fund, which he called Morpheus Asset Strategies after a character in the dystopian film “The Matrix….”
He plans for the fund to be part of a new firm focused on investing in blockchain technology called Renovatio Puerto Rico, which means “rebirth” in Latin and is based in the U.S. territory.
Lest you think that has something to do with rebuilding the devastated island, fear not: “Renovatio” is just one of the many terrible names Bo Collins has come up with for his businesses, one that dates back at least as far as 1.618. No, you needn’t worry that your money will be squandered on philanthropy and can rest assured that Collins will squander it in some other way.