Securitize, a digital asset securities firm, has launched two crypto security yield funds: one based on bitcoin (BTC) and the other denominated in the stablecoin USDC. The funds will be open for participation in early June and will be issued as digital asset securities on the Algorand blockchain.
“In the last couple of years in the world of crypto there’s been a tremendous movement around DeFi and yield generation strategies,” said Carlos Domingo, CEO of Securities, during a “First Mover” interview on CoinDesk TV on Thursday.
Securitize partnered with Genesis Trading and Anchorage, which operate lending desks that regularly lend and borrow cryptocurrencies. Securitize Capital, a wholly owned subsidiary of Securitize, will manage both funds.
“We will get inflow of money into the fund in fiat currency, convert into USDC or BTC and lend back to Genesis and Anchorage and collect yield,” said Domingo.
The Securitize Capital BTC Yield Fund will “offer investors exposure to BTC with a 2% annualized yield and the amount of bitcoin the fund contains grows 2% over the year,” said Domingo.
The USDC Yield Fund will offer a much higher yield of 6% to 8% annually. And