Meanwhile launches bitcoin denominated investment fund
Meanwhile Group, the first life insurance company denominated in a crypto currency, has launched a Bitcoin-denominated private credit fund.
Bermuda-based Meanwhile said Meanwhile BTC Private Credit Fund LP aims to attract institutional investors seeking access to BTC’s growth with an added conservative BTC-denominated yield.
“Unlike retail-focused on-chain lending, the fund serves as a dynamic alternative within the Bitcoin ecosystem,” the company headed by chief executive officer Zac Townsend said. “Thanks to Meanwhile Advisors’ expertise, investors can expect a conservative BTC-denominated yield targeting five percent during the closed fund's term.
“Meanwhile Advisors lends bitcoin to a diverse range of institutional counterparties and has implemented a rigorous assessment of creditworthiness to ensure quality and safety. This approach more effectively mitigates risk relative to retail-focused platforms, which predominantly lend to speculative individual investors.”
The company said the fund operates under a distinctive structure to ensure tax efficiency for its investors. Investors contribute US dollars which is then converted into Bitcoin immediately following the fund's single close, meaning the fund will not take any currency risk to fund the lending activities. Fees are charged in BTC, aligning interests between the fund and its limited partners.
Meanwhile Group received $20 million in seed funding in June from a group led by Open AI CEO Sam Altman, former Stripe executive Lachy Groom and Gradient Ventures (Google).
Meanwhile Group said it aims to develop a comprehensive range of financial products denominated in cryptocurrency, including term life insurance and accidental death coverage in BTC.
