Blockstream, co-founded by Bitcoin developer Adam Back, has secured a multi-billion-dollar investment to launch three new investment funds focused on crypto lending and hedge fund strategies.
The Three New Bitcoin Investment Funds
Blockstream has introduced three distinct funds targeting institutional and high-net-worth investors. The Bitcoin-Backed Lending Fund will underwrite loans backed by BTC collateral. The Crypto Borrowing Fund allows institutions to borrow using U.S. dollars as collateral, maintaining their crypto exposure. The Hedge Fund Strategy Fund deploys hedge fund strategies in Bitcoin markets, aiming at high-yield opportunities. The funds are set to launch in April, with capital acceptance beginning in July.
Reviving Institutional Crypto Lending
Crypto lending faced challenges after the FTX collapse in 2022, but Blockstream's new efforts suggest a renewed investor interest. The company aims to restore trust through strong risk management and institutional-grade products.
Blockstream’s Expansion into Asia
In addition to the new funds, Blockstream is expanding its operations in Asia, opening a Tokyo office and partnering with Japan's strategic consultancy Diamond Hands and Fulgur Ventures to promote Bitcoin Layer 2 solutions and self-custody platforms.
With new investments and expansion into Asia, Blockstream strengthens its position in the crypto finance sector, offering innovative solutions and products for institutional investors.
