Coinbase Asset Management launches the Coinbase Bitcoin Yield Fund
TL;DR: Coinbase Asset Management is launching the Coinbase Bitcoin Yield Fund, a long-bitcoin fund that seeks 4-8% net returns in BTC.*
To address the growing institutional demand for bitcoin yield, Coinbase Asset Management is excited to introduce the Coinbase Bitcoin Yield Fund (CBYF). This fund is a conservative strategy that seeks a 4-8% net return in bitcoin per year, over a market cycle, with investors subscribing and redeeming in bitcoin*.
Bitcoin, unlike traditional assets or staked digital assets such as ether and solana, does not generate yield. Bitcoin yield funds have emerged to address this limitation, but these funds generally require institutional allocators to take on significant investment and operational risk. Coinbase AM designed CBYF to lower expected investment and operational risks, which we believe align with institutional investor risk appetite.
Rather than move assets out of storage, Coinbase AM uses third-party custody integrations to trade, which we believe significantly reduces counter-party risk. Additionally, our investment strategy avoids riskier high-interest bitcoin loans and systematic call selling.
The fund is seeded by multiple investors, including Aspen Digital, an FSRA-regulated digital asset manager based in Abu Dhabi, UAE. Aspen Digital is also initially serving as an exclusive wealth-distribution partner across the UAE and Asia. CBYF officially launches on May 1, 2025.
Additional CBYF details:
Monthly fund open for subscriptions/redemptions, five business days notice.
$1B AUM estimated strategy capacity.
Qualified custodians.
Currently available for international investors (non-US).
As institutional crypto adoption grows, Coinbase Asset Management provides solutions for institutional investors to engage with digital assets by blending traditional investment experience with digital acumen.
ABOUT COINBASE ASSET MANAGEMENT:
Coinbase Asset Management (“Coinbase AMˮ or “CBAMˮ) is a dedicated digital asset manager. We manage alternative investment strategies for institutional investors. Our solutions are calibrated to remove barriers and promote institutional engagement in digital assets subject to fiduciary standards. Coinbase Asset Management, LLC is a SEC-registered RIA, CFTC-registered CPO and CTA, and a member of the NFA. CBAM (Cayman) Ltd. SECZ holds a CIMA asset management license.
Disclaimer
Coinbase Asset Management is comprised of both CBAM (Cayman) Ltd. SECZ and Coinbase Asset Management, LLC
*The targeted net return of 4-8% represents the annualized net BTC yield that CBAM seeks to achieve over a full market cycle. This target is net of estimated management fees, performance allocations, fund expenses, and applicable transactions costs. Investors will subscribe and redeem in Bitcoin ("BTC"), and all performance reporting is denominated in BTC.
The targeted return is based on the Adviser's forward-looking views, internal models, and assumptions regarding market conditions, digital assets volatility, protocol yields, and strategy implementation. These assumptions may not materialize, and actual performance may differ materially. No guarantee is made that the CBYF will achieve its target.
The targeted return is presented solely for illustrative purposes to communicate the investment objectives of the Fund. It does not represent actual performance and should not be relied upon when making an investment decision. Past performance is not indicative of future results, and no representation is made that any investment will achieve its objects or avoid losses.
