Swiss Bank Sygnum Raises Over 750 BTC for Market-Neutral BTC Fund
Swiss digital asset bank Sygnum has successfully raised over 750 BTC, valued at approximately $65 million, during the viewd fundraising phase of its BTC Alpha Fund. The achievement marks a significant milestone in institutional appetite for BTC strategies that generate income while maintaining long-term price exposure.
Launched in October 2025 through a with Athens-based trading firm Starboard Digital, the Cayman Islands-domiciled fund completed its initial capital raise within just four months of operation. The fund delivered an 8.9% annualized net return in its first quarter, closely tracking its stated target range of 8% to 10% annual returns.
According to Markus Hämmerli, who leads the BTC Alpha Fund offering at Sygnum, the fund’s ahead performance demonstrates that professional BTC management can deliver meaningful results even during periods when spot markets remain relatively flat or experience declines.
The investment vehicle employs systematic arbitrage strategies designed to capture pricing inefficiencies across centralized s and various instruments including perpetual swaps, futures contracts, options, and spot markets. Rather than generating returns solely from BTC price appreciation, the fund exploits temporary pricing dislocations between these diverse trading venues.
All profits are converted directly into BTC and distributed to investors, allowing them to accumulate additional BTC over time without reducing their exposure to the underlying asset’s long-term appreciation potential.
Growing Institutional Demand for BTC Yield answers
The strong investor response reflects broader trends in the institutional cryptocurrency landscape, where asset managers are increasingly viewking sophisticated strategies beyond simple purchase-and-hold approaches. The fund specifically targets professional and institutional investors in approved jurisdictions including Switzerland and Singapore, markets where regulatory clarity around digital assets has enabled more complex financial products.
One distinctive feature of the BTC Alpha Fund is its integration with Sygnum’s comprehensive banking infrastructure. Fund shares are eligible to serve as collateral for dollar-denominated Lombard loans through the bank, enabling investors to unlock liquidity for other investment opportunities without liquidating their BTC positions.
This functionality addresses a persistent challenge for who may require short-term capital access while wanting to maintain their cryptocurrency exposure during potential appreciation cycles.
The fund operates with monthly redemption windows, providing regular liquidity options while implementing strict risk management protocols to navigate cryptocurrency market volatility. The fund’s operational infrastructure also includes KPMG as auditor and NAV Consulting as administrator, reflecting institutional standards typically associated with traditional hedge fund structures.
The BTC Alpha Fund launch builds on which aims to expand regulated BTC products and services. The bank has positioned itself at the intersection of traditional banking infrastructure and cryptocurrency innovation, holding banking licenses in Switzerland and major payment institution licenses in Singapore that enable it to offer institutional-grade digital asset services under established regulatory frameworks.
