Blockstream has introduced two investment funds designed to provide institutional investors with exposure to its Bitcoin ecosystem.
The Blockstream Income Fund and Blockstream Alpha Fund, set to launch in early 2025, aim to capitalize on Bitcoin-backed loans and blockchain infrastructure revenue streams.
The Income Fund focuses on generating USD-denominated returns by issuing loans secured by Bitcoin, targeting amounts between $100,000 and $5 million. Meanwhile, the Alpha Fund is geared toward growth, offering exposure to infrastructure revenues such as Lightning Network operations. This actively managed fund is expected to attract investors seeking strategic, higher-risk opportunities.
Blockstream joins major industry players like Grayscale and Galaxy Digital in launching crypto-focused investment products. The rising demand for institutional crypto investments has also been fueled by the growing popularity of Bitcoin ETFs, which have reached nearly $120 billion in assets, according to recent data.
Under President Trump’s administration, analysts predict clearer regulations for digital assets could accelerate institutional adoption. Key appointments at regulatory bodies, such as the SEC, are expected to provide the clarity needed for broader market participation. As the SEC works on establishing a more transparent framework for crypto, the sector appears poised for significant institutional growth.
Bitcoin tumbled sharply today, shedding more than 3.5% in a matter of hours and briefly flirting with the critical $100,000 level.
Bitcoin is treading water near $105,000, but pressure is building on both sides of the trade as macro forces tighten.
BlackRock is making another assertive move into digital assets, quietly expanding its crypto portfolio with sizable purchases of both Bitcoin and Ethereum.
In a move that signals changing tides in traditional finance, JPMorgan is preparing to accept Bitcoin ETF holdings as collateral for loans—starting with BlackRock’s iShares Bitcoin Trust, according to insiders familiar with the plan.