Two Prime Launches Axiom WBTC Yield Vault, Targeting 1.5%-2% Annual Returns
Summary
- Two Prime unveiled the Bitcoin yield vault Axiom WBTC Yield Vault, built on the on-chain private credit platform Pareto.
- The product has a minimum deposit of $250,000 in WBTC and an initial capacity of 1,350 Bitcoin.
- It is targeting an annual 1.5%-2% yield depending on market conditions, with Two Prime absorbing initial losses with about $10 million in its own capital.
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Two Prime, a cryptocurrency financial services firm, has launched a Bitcoin-based lending product.
CoinDesk reported on September 16 that Two Prime unveiled the Axiom WBTC Yield Vault, a Bitcoin yield vault built on Pareto, an on-chain private credit platform.
The vault takes deposits in Wrapped Bitcoin, or WBTC, a tokenized version of Bitcoin that can be used on other blockchain networks, and lends those assets to institutional borrowers. The product is designed to give Bitcoin investors a source of returns beyond price appreciation while providing institutions with access to Bitcoin liquidity.
The minimum deposit is $250,000 in WBTC, and the initial capacity is 1,350 Bitcoin. The vault is targeting annual returns of 1.5% to 2%, depending on market conditions.
Two Prime has committed about $10 million of its own capital to absorb initial losses. Borrowers will include publicly listed companies and businesses with credit ratings.
The product marks Two Prime's push to expand into on-chain finance after operating an institutional Bitcoin-collateralized lending business.
JOON HYOUNG LEE
gilson@bloomingbit.ioCrypto Journalist based in Seoul