Swiss digital asset bank Sygnum is launching a fund to help investors maximize their Bitcoin yield while retaining price exposure.
Swiss digital asset bank Sygnum launched a product for investors who want to earn yield on Bitcoin without sacrificing price exposure. On Thursday, October 1, Sygnum launched the BTC Alpha Fund in collaboration with an Athens-based digital asset trading firm, Starboard Digital, according to a press release seen by crypto.news.
BTC Alpha Fund, domiciled in the Cayman Islands, will target 8–10% annual Bitcoin-denominated returns, net of fees, with payouts also in Bitcoin (BTC). Starboard Digital will be in charge of yield generation through arbitrage trading, while Sygnum will serve as a custodian. The two firms did not disclose which type of arbitrage strategies they will use.
Bitcoin yields have been available in DeFi for years, either through arbitrage or lending. For instance, traders can use cross-exchange spreads or discrepancies in the futures market to generate low-risk arbitrage returns. Still, traders who lend or place their Bitcoin in custody with a third party always run into counterparty risk, as seen in the cases of Celsius or BlockFi.

Lawmakers in the US House of Representatives and Senate met with cryptocurrency industry leaders in three separate roundtable events this week. Members of the US Congress met with key figures in the cryptocurrency industry to discuss issues and potential laws related to the establishment of a strategic Bitcoin reserve and a market structure.On Tuesday, a group of lawmakers that included Alaska Representative Nick Begich and Ohio Senator Bernie Moreno met with Strategy co-founder Michael Saylor and others in a roundtable event regarding the BITCOIN Act, a bill to establish a strategic Bitcoin (BTC) reserve. The discussion was hosted by the advocacy organization Digital Chamber and its affiliates, the Digital Power Network and Bitcoin Treasury Council.“Legislators and the executives at yesterday’s roundtable agree, there is a need [for] a Strategic Bitcoin Reserve law to ensure its longevity for America’s financial future,” Hailey Miller, director of government affairs and public policy at Digital Power Network, told Cointelegraph. “Most attendees are looking for next steps, which may mean including the SBR within the broader policy frameworks already advancing.“Read more

