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Nomura-backed Laser Digital Launches Tokenized Bitcoin Yield Fund for Institutional Investors

Highlights:

  • Laser Digital has introduced a tokenized Bitcoin fund that offers investors a sustainable yield. 
  • The fund targets accredited investors and offers more than 5% additional returns on Bitcoin. 
  • Laser Digital has $250 million in assets under management as it continues to expand its digital asset investment offering.

Laser Digital, the digital assets subsidiary of Nomura, has introduced an upgraded Bitcoin Diversified Yield Fund. This is a tokenized Bitcoin-based fund that targets institutional and accredited investors in qualified jurisdictions. The enhanced fund aims to produce surplus gains on top of Bitcoin performance through diversified market-neutral strategies.

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Upgrading the Bitcoin Fund

The Bitcoin Diversified Yield Fund (BDYF) aims to offer long-term and long-only exposure to Bitcoin. Moreover, it is a combination of growth and income strategies to provide a sustainable yield. This design makes the fund a favorable alternative to Bitcoin owners seeking to earn the highest returns.

The Fund is based on the first Bitcoin Adoption Fund that was introduced in 2023. The new version, however, features more advanced DeFi strategies. The BDYF has implemented the services of tier-1 regulated entities such as KAIO to tokenize and will use Komainu as its primary custodian.

According to Jez Mohideen, the co-founder and CEO of Laser Digital, the introduction of this fund is a logical next step in crypto asset management. According to him, such market-neutral funds are the best suited to the present environment. Laser Digital wants to lead this emerging market as DeFi strategies continue to evolve.

According to Sebastian Guglietta, Head of Laser Digital Asset Management, Bitcoin does not have a yield, unlike fiat currencies. The fund fills this gap with its strategy that provides Bitcoin holders with a sustainable yield.

Fund Details and Investment Requirements

Laser Digital’s Bitcoin Diversified Yield Fund requires a minimum subscription of $250,000 or Bitcoin equivalent. The fund aims to deliver more than 5% excess returns over Bitcoin performance. It targets achieving this return across different market cycles and can use a 12-month rolling period as a benchmark.

At the moment, only accredited investors in eligible jurisdictions excluding the U.S. are allowed to participate. The strategy of the firm is to serve long-term Bitcoin holders and provide a way to earn income without losing exposure to Bitcoin growth.

The managers actively run the fund alongside others, including the Laser Digital Carry Fund and Multi-Strategy Fund. These offerings fall under the institutional asset management division of Laser Digital, which currently manages approximately $250 million worth of assets.

Regulatory Milestones and Expansion

Laser Digital keeps expanding its digital asset base. Nomura Holdings announced that it would expand its presence in the Japanese crypto market further last year. Laser Digital has already obtained great regulatory permission to provide additional crypto services.

In June 2024, the company was granted Financial Services Permission by the Financial Services Regulatory Authority (FSRA) in Abu Dhabi. This license enabled Laser Digital to offer both virtual and traditional asset services within the global financial hub of Abu Dhabi.

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