The BTC Alpha Fund targets 8-10% annual returns denominated in Bitcoin by exploiting price differentials between spot and derivative markets through systematic arbitrage, with a strategy focused on cross-exchange opportunities and carry trades.

The fund aims to provide monthly liquidity while keeping assets off-exchange, catering to institutional investors seeking yield alongside direct BTC exposure.

In its first full quarter since debut in October, the fund delivered an 8.9% annualized net return, underscoring the viability of yield-focused, market-neutral Bitcoin strategies.

The article includes an AI disclaimer noting that some content was AI-assisted and reviewed by editors.

Sygnum previously partnered with Debifi to launch what was described as the first bank-backed loan platform that does not require borrowers to surrender control of their BTC.

This loan platform builds on Sygnum’s earlier collaboration with Debifi to offer a bank-backed solution that preserves borrowers’ Bitcoin control.

Starboard Digital Strategies, an Athens-based team, designs regulated asset solutions and market-neutral products that contribute to the fund’s strategy and operations.

Sygnum leadership, including BTC Alpha Fund head Markus Hämmerli, stresses that professional Bitcoin management can deliver meaningful results even when spot markets are flat or down.

The BTC Alpha Fund is open to professional investors in Switzerland and Singapore, and fund shares can be used as collateral for Lombard loans via Sygnum to unlock liquidity without selling BTC.

The fund integrates with Sygnum’s banking services, allowing select clients to use fund shares as collateral for USD Lombard Loans to access liquidity without divesting holdings.

Investors can post shares of the fund as collateral for Lombard loans through Sygnum, enabling liquidity without selling bitcoin positions.

Industry data indicate rising institutional demand for yield-generating Bitcoin strategies, with many investors already exposed to BTC-related ETPs or planning to invest.