Crypto hedge funds face the same requirements as any hedge fund, plus specific ones: a custodian licensed for digital assets, exchange accounts in the fund's name, an administrator able to price 24/7 markets and strike NAV daily, and a bank willing to take fiat subscriptions. Assembling those providers independently is the main reason crypto fund launches have been slow and expensive.
Allocators increasingly access crypto through such funds rather than by holding assets directly, because the fund provides custody, administration and an audited track record their committees can underwrite.