Meanwhile Advisors, a subsidiary of Meanwhile Group, has announced a new financial product within the cryptocurrency domain – the Meanwhile BTC Private Credit Fund.
The announcement follows a seed funding round of $20 million in June, led by key figures Sam Altman, Lachy Groom, and Gradient Ventures.
Bitcoin Fund Targets Institutional Investors
According to a recent statement, Meanwhile Advisors is introducing a dynamic alternative in the form of a Bitcoin private credit fund.
Geared towards institutional investors, the fund offers a conservative Bitcoin-denominated yield, targeting a five percent return over its closed term.
However, it notes that Meanwhile Advisors employs a risk-mitigation strategy. This is through lending Bitcoin to a diverse range of institutional counterparties. Additionally, coupled with a strict creditworthiness assessment.
Zac Townsend, CEO of Meanwhile Group, emphasizes the importance of robust capital markets in realizing the potential of a thriving Bitcoin economy.
He positions Meanwhile Advisors at the forefront of this financial sector, building bridges between fiat money and cryptocurrency.
“This private credit fund offers unparalleled potential for institutional investors to unlock the full value of their BTC holdings without compromising their ownership, seizing a unique opportunity for optimized returns.”
Bitcoin Ecosystem Sees Substantial Progress
The statement explains that the fund operates under a distinct structure designed for tax efficiency. Investors contribute in USD, which is then promptly converted into BTC after a single close.
This strategy shields the fund from currency risks during lending activities. Additionally, fees are aligned with investor interests, denominated in BTC.
Alyse Killeen, Managing Partner of Stillmark, a bitcoin-focused venture capital firm, recognizes Meanwhile Advisors’s BTC private credit fund as a pioneering investment opportunity.
She believes it is indicative of the significant advancements in the Bitcoin ecosystem.
With the expansion of the digital asset economy, institutional investors are actively exploring inventive ways to capitalize on this asset class.
This is evident in the heightened interest surrounding the potential approval of a spot Bitcoin ETF by the US SEC.
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