The Canadian company Blockstream is set to revive the institutional crypto lending sector with the launch of three new investment funds backed by multibillion-dollar investments.
Three New Bitcoin Investment Funds
Blockstream is launching three funds aimed at institutional investors and high-net-worth individuals: The Bitcoin-Backed Lending Fund offers BTC-backed loans, the Crypto Borrowing Fund allows borrowers to use US dollars as collateral, and the Hedge Fund Strategy Fund applies hedge fund strategies to Bitcoin markets. The funds are set to launch in April, with additional external capital acceptance beginning in July.
Reviving Institutional Crypto Lending
Following the collapse of FTX in 2022, the crypto lending sector faced challenges. However, Blockstream’s new investment initiative indicates a renewed investor interest in Bitcoin-backed loans. The company aims to restore trust through strong risk management and institutional-grade financial products.
Blockstream’s Expansion into Asia
Blockstream is opening an office in Tokyo and partnering with the Japanese strategic consultancy Diamond Hands. The company is also working with Fulgur Ventures to promote Bitcoin Layer 2 solutions and self-custody platforms. As part of its strategy, Blockstream introduced Blockstream Asset Management, managing the new launched funds.
Blockstream demonstrates ambitious plans to restore confidence in crypto lending and expand operations into the Asian market.