Key Takeaways
- • Meanwhile Advisors, the investment manager subsidiary of Bermuda-based Meanwhile Group, launched the Meanwhile BTC Private Credit Fund LP, described as the first bitcoin private credit fund, targeting institutional investors.
- • The fund targets a conservative BTC-denominated yield of five percent during the closed fund's term, with returns paid in bitcoin rather than fiat.
- • Investors contribute USD, which is converted into BTC immediately after the fund's single close, so the fund takes no currency risk in funding its lending activities.
- • Meanwhile Advisors lends bitcoin to diverse institutional counterparties after creditworthiness assessments, contrasting its model with retail-focused on-chain lending platforms.
- • The launch follows Meanwhile Group's $20 million seed round in June, led by Sam Altman, Lachy Groom, and Gradient Ventures (Google).
Summary
Meanwhile Advisors, the investment management subsidiary of Meanwhile Group, has launched Meanwhile BTC Private Credit Fund LP, which the company describes as the first bitcoin private credit fund. According to the company's Business Wire release, the fund is designed to attract institutional investors seeking bitcoin exposure alongside a conservative BTC-denominated yield. The launch follows Meanwhile Group's $20 million seed funding announcement in June, led by Sam Altman, Lachy Groom, and Gradient Ventures (Google).
The fund targets a yield of five percent in bitcoin during the closed fund's term. Meanwhile Advisors lends bitcoin to a range of institutional counterparties and says it applies a rigorous creditworthiness assessment. The company contrasts this with retail-focused on-chain lending platforms, which it says predominantly lend to speculative individual borrowers.
The fund is structured for tax efficiency. Investors contribute USD, which is converted into BTC immediately following the fund's single close, so the fund takes no currency risk in funding its lending. Fees are charged in BTC, which the company says aligns the interests of the fund and its limited partners.
Zac Townsend, co-founder and CEO of Meanwhile Group, said a robust capital markets infrastructure is essential to realizing the bitcoin economy's potential and that the fund offers institutional investors a way to unlock the value of BTC holdings without surrendering ownership. Alyse Killeen, GP and Managing Partner of Stillmark, a bitcoin-focused venture capital firm founded in 2019, called the fund a leading-edge opportunity and said Meanwhile is well positioned to deliver the strategy given its insurance expertise.
Meanwhile Group is the parent of Meanwhile Insurance, a Bermuda-based insurer that the company describes as the first and only life insurer with premiums and claims denominated in cryptocurrency. The company plans to expand into additional BTC-denominated products in the coming months, including term life insurance and accidental death coverage.
The fund targets a yield of five percent in bitcoin during the closed fund's term. Meanwhile Advisors lends bitcoin to a range of institutional counterparties and says it applies a rigorous creditworthiness assessment. The company contrasts this with retail-focused on-chain lending platforms, which it says predominantly lend to speculative individual borrowers.
The fund is structured for tax efficiency. Investors contribute USD, which is converted into BTC immediately following the fund's single close, so the fund takes no currency risk in funding its lending. Fees are charged in BTC, which the company says aligns the interests of the fund and its limited partners.
Zac Townsend, co-founder and CEO of Meanwhile Group, said a robust capital markets infrastructure is essential to realizing the bitcoin economy's potential and that the fund offers institutional investors a way to unlock the value of BTC holdings without surrendering ownership. Alyse Killeen, GP and Managing Partner of Stillmark, a bitcoin-focused venture capital firm founded in 2019, called the fund a leading-edge opportunity and said Meanwhile is well positioned to deliver the strategy given its insurance expertise.
Meanwhile Group is the parent of Meanwhile Insurance, a Bermuda-based insurer that the company describes as the first and only life insurer with premiums and claims denominated in cryptocurrency. The company plans to expand into additional BTC-denominated products in the coming months, including term life insurance and accidental death coverage.
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