Crypto Assets / Crypto Bonds
Volatility in digital currencies has been the name of the game since their scorching run in 2020-2021. Taking Bitcoin as an example – since its zenith of nearly $65,000 USD per 1 BTC in November 2021, the currency has cratered, and only recently have gains brought it to less than half of that peak nearly two years later.
Despite the unpredictable nature of the asset class, crypto is understandably attractive to investors for many reasons. Decentralisation, transparency, security, speed of transactions, low fees, and accessibility are just some of the basic benefits investors covet, not to mention the potential for gains in the short and long term.
High-net-worth investors and portfolio managers have been justifiably cautious when it comes to crypto assets. Whilst experienced wealth managers help them navigate digital currencies as a part of a diversified portfolio that can adequately hedge risk and seize on opportunities, returns are unpredictable at best.
This is exactly where the Redhat Capital Cryptocurrency Facility can play an important role in any HNW portfolio.
Key Features of the Redhat Capital Cryptocurrency Facility
- Investment into the Redhat fixed rate bond can now be made using any of the main digital currencies, including BTC, ETH, BNB, ADA, SOL.
- Provides a liquidity point for high-net-worth and corporate investors choosing to redeploy cryptocurrency holdings into a fixed rate bond yielding 12% per annum.
- Original capital repaid in a choice of currencies at the end of the two-year term.
Launched in July 2023, the facility allows investors to use digital currencies to invest in the Company’s fixed-interest rate Series 1 Bond, which pays quarterly coupons, 12% per annum, with the capital repaid after the two-year term.
Commenting on Crypto Assets

Redhat Capital CEO Craig Gabriel said: “We wanted to provide a seamless way for investors holding digital currencies to generate regular cash yield. This is where we are seeing increasing demand, and we wanted to respond with a realistic solution for investors to redeploy existing crypto assets into an income-generating scenario.”
“We are providing a liquidity point and choice for high-net-worth investors holding cryptocurrency and wanting to generate yield. This is a way of utilising digital assets to generate income in the form of quarterly paying coupons over a fixed term. We are responding to demand, often where investors are looking to utilise digital assets that have been sitting in a portfolio for some time and others looking to yield cashflows from an otherwise non-yielding asset.”
Photo by Michael Förtsch on Unsplash