(PRO/ELITE) When the Carry Breaks: How a $1 Trillion Yen Time Bomb Could Shock Crypto Hedge Funds - A Quantitative View
Introduction
For decades, Japan’s zero-rate policy provided the lubricant for one of the most powerful forces in global finance: the yen carry trade. Investors borrowed cheaply in yen and deployed capital into higher-yielding assets across the globe: U.S. Treasuries, European bonds, emerging markets, equities, and, increasingly, crypto.
But
