Xapo Bank launches BTC-denominated credit fund to offer low-risk Bitcoin exposure
Xapo Bank announced the launch of its BTC Credit Fund, a Bitcoin-denominated fund that the bank describes as a secure, low-risk vehicle backed by institutional-grade lending. The fund is positioned as an alternative for investors who want exposure to Bitcoin without direct spot trading, offering credit-style returns while keeping exposure measured in BTC.
The move highlights growing demand for regulated, bank-backed crypto products that combine custody and lending infrastructure. For conservative allocators and institutions, the fund could expand options for yield and capital preservation in crypto portfolios, and it may help broaden institutional participation and liquidity in Bitcoin markets. Xapo’s reputation in custody and banking services will be a key factor as investors assess risk, transparency, and regulatory compliance.