It’s an exciting new chapter for Bitcoin finance: we are proud to announce the launch of Blockstream Asset Management (BAM) and two accompanying Bitcoin-based investment funds opening in Q1 2025: the Blockstream Income Fund and the Blockstream Alpha Fund.
These funds are specifically designed for institutions and accredited investors looking for transparent, regulated, and secure ways to invest in Bitcoin. A third fund, the Blockstream Yield Fund, is also slated for release later this year, providing Bitcoin holders with consistent, low-risk returns.
Bridging Bitcoin and Traditional Finance
With the launch of BAM, we are taking another step toward establishing Bitcoin as a core component of modern investment portfolios.
“The launch of Blockstream Asset Management and our inaugural suite of investment funds represents Bitcoin’s evolution from a niche asset into a pillar of modern investment portfolios. With these funds, we’re providing a previously unavailable—but long sought after—way for institutional and high-net-worth investors to access the Bitcoin ecosystem. Combining the asset’s unique potential with the transparency, security, and innovation synonymous with Blockstream, this launch marks a key step in our mission to integrate Bitcoin into mainstream finance and drive global adoption.”
BAM’s new funds are offered under the 506(c) exemption and cater to institutions and accredited investors seeking innovative performance-driven opportunities in Bitcoin.
Blockstream Income Fund: Stable, Predictable Returns
The Blockstream Income Fund is a USD yield fund built to generate stable, predictable income.
How does it work?
- By lending against Bitcoin collateral with conservative loan-to-value (LTV) ratios, the fund maintains robust collateralization and sound risk management.
- Target yields range from high single digits to low-teens in percentage terms.
- Focuses on loans between $100,000 and $5 million, a segment often overlooked by traditional lenders.
- Leverages Blockstream’s network of Bitcoin-native startups and businesses, ensuring a strong pipeline of high-quality borrowers.
This approach helps democratize access to capital, addresses pricing inefficiencies for Bitcoin-backed loans, and taps into Bitcoin’s best attributes—24/7 liquidity and efficient settlement.
Blockstream Alpha Fund: Strategically Enhanced Returns
For investors seeking more active strategies, the Blockstream Alpha Fund delivers risk-adjusted outperformance within the Bitcoin ecosystem by combining:
- Diversified trading strategies (derivatives trading, event-driven opportunities, basis trading).
- Infrastructure-based revenue streams, such as Lightning Network node operations.
With a dynamic balance of risk and return, the Alpha Fund is ideal for institutions and sophisticated investors wanting to anchor or complement an existing digital assets allocation. The fund’s integrated approach not only seeks to produce stable returns - it also contributes to the ongoing development of the broader Bitcoin economy.
Led by Industry Veterans
The creation of BAM is the result of months of planning by Dr. Adam Back and Sean Bill, Blockstream’s Chief Investment Officer. Sean joined Blockstream in November 2024 and has nearly three decades of experience in institutional portfolio and risk management.
A strong proponent of Bitcoin adoption in the pensions industry, Sean was instrumental in shaping BAM’s product offerings.
A Broader Institutional Strategy
BAM’s launch follows key milestones that underscore Blockstream’s drive to bridge the gap between Bitcoin and traditional finance:
- A $210 million convertible note financing round led by Fulgur Ventures.
- A $75 million strategic investment by Blockstream Capital Partners into Komainu—an institutional digital asset custodian backed by Nomura’s Laser Digital.
- Ongoing work to integrate best-in-class Blockstream technologies like the Liquid Network and the Asset Management Platform (AMP) with Komainu’s custody solutions.
These efforts align with Blockstream’s commitment to bringing regulated, enterprise-grade solutions to market, setting new standards for how Bitcoin can be integrated into traditional finance.
Learn More
Blockstream Asset Management’s debut marks a new era for Bitcoin’s role in global finance, offering robust, secure, and innovative investment vehicles for a wide range of participants.
If you would like more information about BAM or any of our new funds, please visit: blockstream.com/finance or connect directly with a representative by filling out the form below.