Bitcoin life insurance innovator Meanwhile Group, supported by notable figures like Sam Altman and Gradient Ventures, has introduced a new private credit fund denominated in Bitcoin. The closed fund aims to provide investors with a “conservative” yield in Bitcoin while lending funds in BTC to institutional counterparties, as stated by the company.
Bitcoin Life Insurance and Yield Generation
The Meanwhile BTC Private Credit Fund targets a 5% yield for its investors through the vetting of loan recipients. By focusing on lending to institutional counterparties instead of retail platforms that primarily lend to individuals, the fund aims to mitigate associated risks. Notably, the fund enables institutional investors to unlock the full value of their BTC holdings while maintaining ownership, presenting an opportunity for optimized returns. Zac Townsend, co-founder and CEO of Meanwhile Group, emphasized the potential benefits of the private credit fund for institutional investors.
Expanding Services: Meanwhile Insurance
Meanwhile Group gained attention earlier this year with the launch of Meanwhile Insurance, a Bermuda-based company that exclusively accepts premiums and pays benefits in Bitcoin. While the service currently caters to customers in the United States, the company is actively working towards expanding its offerings to citizens of other countries. Meanwhile Insurance provides whole life insurance policies, offering a cash value in BTC along with a death benefit.
The move by Meanwhile Group aligns with the rising interest from institutional investors in Bitcoin and other cryptocurrencies. New York Digital Investment Group secured $100 million in funding from major insurance providers in 2021 to develop “Bitcoin-powered solutions for U.S.-based life insurance and annuity providers.”
