Coinbase to launch yield-bearing Bitcoin fund for institutions
Summary
Coinbase is launching the Coinbase Bitcoin Yield Fund on May 1, targeting institutional investors outside the US. The fund aims for an annual net return of 4% to 8% on Bitcoin holdings. It addresses institutional demand for Bitcoin yield, supported by investors like Aspen Digital. The yield is generated through a cash-and-carry strategy, leveraging the difference between spot Bitcoin prices and derivatives. The fund seeks to fill the gap for Bitcoin holders who can't generate passive income through staking, aiming to reduce investment and operational risks for institutional investors.
