Swiss digital asset financial institution Sygnum has launched a brand new fund providing buyers the power to earn yield on their Bitcoin holdings whereas sustaining full value publicity.
Key Takeaways:
- Sygnum’s BTC Alpha Fund presents 8–10% annual returns in Bitcoin utilizing arbitrage methods, with out promoting value publicity.
- The fund targets institutional buyers and permits BTC-based yield with month-to-month liquidity and collateral choices.
- Managed by Starboard Digital, it faucets into the rising demand for institutional-grade Bitcoin DeFi options.
The BTC Alpha Fund, launched in collaboration with Athens-based Starboard Digital, employs arbitrage buying and selling methods to focus on annual returns between 8% and 10%, paid straight in Bitcoin.
The fund is domiciled within the Cayman Islands and is designed for institutional {and professional} buyers. It permits members to develop their Bitcoin positions by changing buying and selling positive factors into BTC, relatively than fiat.
Sygnum Affords BTC Yield With out Promoting Publicity
Sygnum says the technique appeals to long-term holders in search of yield with out lowering their Bitcoin publicity.
“Bitcoin has develop into a key publicity in fashionable portfolios, and lots of of our purchasers wish to keep invested whereas constructing their positions additional,” mentioned Markus Hämmerli, who heads the BTC Alpha Fund at Sygnum.
As curiosity in Bitcoin-based earnings methods grows, the fund presents an institutional-grade entry into Bitcoin DeFi, a section that analysts imagine stays largely untapped.
Binance Analysis lately famous that solely 0.8% of Bitcoin’s provide is at the moment deployed in DeFi, suggesting vital upside potential.
Franklin Templeton Digital Property has beforehand estimated the Bitcoin yield alternative might attain $1 trillion.
The fund additionally brings sensible advantages. Shares could be pledged as collateral for USD Lombard loans via Sygnum, enabling buyers to unlock liquidity with out promoting their BTC-based property.
Information: Swiss Financial institution Sygnum Launches BTC Alpha Fund in collaboration with Starboard Digital to Generate Yield on Bitcoin
New fund allows buyers to take care of Bitcoin value publicity whereas concentrating on 8-10% annual goal returns via arbitrage buying and selling methods transformed into… pic.twitter.com/M4poe8lit3
— Sygnum Financial institution (@sygnumofficial) October 1, 2025
Month-to-month liquidity and an outlined threat administration framework are constructed into the fund to assist navigate crypto market volatility.
Starboard Digital, recognized for its buying and selling and threat administration experience, will handle the fund, whereas Starmark acts because the AIFM. Sygnum will present the regulated banking and distribution infrastructure.
“Producing yield on Bitcoin whereas sustaining publicity to its appreciation potential has been a key problem for institutional buyers,” mentioned Nikolas Skarlatos of Starboard Digital.
“This partnership presents one of many few institutional-grade options within the house.”
The fund provides to Sygnum’s rising suite of Bitcoin-focused choices, together with its ₿itcoin@Sygnum initiative and involvement in Lugano’s Plan ₿ Hub.
Sygnum Expands Institutional Entry to Sui with Custody, Buying and selling, and Lending
In August, Sygnum broadened its help for the Sui blockchain by launching custody, buying and selling, staking, and SUI-backed lending providers for institutional purchasers.
The enlargement builds on its July 2025 integration of SUI, and contains off-balance sheet asset structuring to guard shopper holdings within the occasion of chapter.
Sygnum’s providing contains institutional-grade spot and derivatives buying and selling, upcoming staking providers, and Lombard loans backed by SUI.
The financial institution is concentrating on banks, asset managers, and high-net-worth people in search of safe, regulated publicity to blockchain ecosystems.
The transfer strengthens Sygnum’s partnership with the Sui Basis, which goals to drive institutional adoption of its high-performance blockchain.
Sui, developed by ex-Meta engineers at Mysten Labs, helps DeFi, gaming, and real-world asset tokenization. It’s additionally lively within the BTCfi house.
Sygnum, already providing comparable providers for tokens like BTC, ETH, and SOL, continues to develop its presence throughout Europe, Asia, and the Center East.
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