Zeta Network Group reported on Wednesday, that they raised approximately $230.8 Million through a privately-held share sale. The investors paid with Bitcoin.BTC) or SolvBTC — a wrapped Bitcoin-backed token issued by Solv Protocol.
The deal will see investors receive Class A Ordinary Shares and Warrants that would allow them to later purchase more shares for $2.55. Each pair of shares and warrants was sold for a total price of $1.70.
According Zeta says that the agreement will help strengthen their balance sheet as a result of Bitcoin assets. This is part of an overall treasury plan. “By integrating SolvBTC into our treasury, we’re enhancing financial resilience with an instrument that combines Bitcoin’s scarcity with sustainable yield,” Patrick Ngan is the chief investment officer of Zeta Network.
Zeta Network is a fintech and digital infrastructure company that develops an institutional Bitcoin platform. The deal should be finalized on Thursday, subject to closing requirements.
Solv Protocol, an on-chain Bitcoin asset manager platform, issues SolvBTC — a wrapped Bitcoin-backed 1:1 token for use by institutions in yield and liquidity strategy.
Ryan Chow is the CEO of Solv Protocol. “listed entities are redefining what it means to hold Bitcoin productively.”
Related: Solv brings RWA-backed Bitcoin yield to Avalanche blockchain
Cryptocurrency yield strategies are emerging
While Bitcoin remains the primary asset for digital asset treasuries (DATs) — a strategy popularized by Michael Saylor in 2020 — some debate has emerged over whether proof-of-stake networks like Ethereum (ETHSolanaSOL(), which provide yield to validators could have a better long-term performance.
Meanwhile, businesses are looking for ways to make Bitcoin work.
BlackRock, the largest asset manager in the world, registered a Delaware Trust Company for an unnamed client on September 25. Bitcoin Premium Income ETF. Eric Balchunas, Bloomberg ETF Analyst said The fund’s proposed strategy would be to write covered call options and collect the premiums on Bitcoin Futures.
Coinbase launches a new service Bitcoin Yield Fund Institutional investors in the US and abroad will be able to access BTC’s yield in May. The fund aims to generate an annual net return of 4% to 8% for holders.
Chow stated that Bitcoin is a possibility at Token2049, which was held this year. staked to secure networks. He expects that in the future thousands of Bitcoin will enter Proof-of-Stake eco-systems such as Solana.
Magazine: Pakistan will deploy Bitcoin reserve in DeFi for yield, says Bilal Bin Saqib
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Source: cointelegraph.com
